Goodwill and Other Intangible Assets

6 Months Ended

Jan. 31, 2013

5.	Goodwill and Other Intangible Assets

The components of amortizable intangible assets are as follows:


	Weighted Average Remaining Life	January 31, 2013				July 31, 2012
	in Years at January 31, 2013	Cost		Accumulated Amortization		Cost		Accumulated Amortization
Dealer networks	10	$	73,540	$	16,930	$	72,230	$	13,343
Non-compete agreements	3		4,250		2,032		6,321		3,678
Trademarks	22		38,445		3,306		36,775		2,522
Design technology and other intangibles	12		21,320		3,622		21,300		2,856

Total amortizable intangible assets		$	137,555	$	25,890	$	136,626	$	22,399

Dealer networks are primarily being amortized on an accelerated cash flow basis. Non-compete agreements, trademarks, and design technology and other intangibles are amortized on a straight-line basis.

Estimated annual amortization expense is as follows:


For the fiscal year ending July 31, 2013	$	11,145
For the fiscal year ending July 31, 2014	$	10,919
For the fiscal year ending July 31, 2015	$	10,560
For the fiscal year ending July 31, 2016	$	9,504
For the fiscal year ending July 31, 2017	$	9,117
For the fiscal year ending July 31, 2018 and thereafter	$	65,982

The change in carrying value in goodwill from July 31, 2012 to January 31, 2013 is as follows:


	Goodwill
Balance at July 31, 2012	$	245,209
Acquisitions of bus businesses		5,263

Balance at January 31, 2013	$	250,472

All but $12,369 (bus reportable segment) of the goodwill resides in the towable recreation vehicles segment.

Goodwill is not subject to amortization, but instead is reviewed for impairment by applying a fair-value based test to the Company’s reporting units on an annual basis as of April 30, or more frequently if events or circumstances indicate a potential impairment. The Company’s reporting units are the same as its operating segments, which are identified in Note 3 to the Condensed Consolidated Financial Statements. Our assessment of whether any triggering events occurred during the first six months ended January 31, 2013, for which we should further analyze whether an impairment exists through that date, did not result in the identification of such a triggering event.

- 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.

+ References+ Details