Goodwill and Other Intangible Assets

6 Months Ended

May 04, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

The changes in the net carrying amount of goodwill for the first six months of fiscal 2018 were as follows:



(Dollars in thousands)	Professional Segment		Residential Segment		Total
Balance as of October 31, 2017	$	194,464	$	10,565	$	205,029
Goodwill acquired	20,393		—		20,393
Translation adjustments	294		20		314
Balance as of May 4, 2018	$	215,151	$	10,585	$	225,736

The components of other intangible assets as of May 4, 2018 were as follows:



(Dollars in thousands)	Gross Carrying Amount		Accumulated Amortization			Net
Patents	$	18,287	$	(11,937	)	$	6,350
Non-compete agreements	6,918		(6,806		)	112
Customer-related	89,874		(21,284		)	68,590
Developed technology	31,180		(27,872		)	3,308
Trade names	2,351		(1,724		)	627
Other	800		(800		)	—
Total amortizable	149,410		(70,423		)	78,987
Non-amortizable - trade names	30,723		—			30,723
Total other intangible assets, net	$	180,133	$	(70,423	)	$	109,710

The components of other intangible assets as of October 31, 2017 were as follows:



(Dollars in thousands)	Gross Carrying Amount		Accumulated Amortization			Net
Patents	$	15,162	$	(11,599	)	$	3,563
Non-compete agreements	6,896		(6,775		)	121
Customer-related	87,461		(18,940		)	68,521
Developed technology	30,212		(26,939		)	3,273
Trade names	2,330		(1,637		)	693
Other	800		(800		)	—
Total amortizable	142,861		(66,690		)	76,171
Non-amortizable - trade names	27,572		—			27,572
Total other intangible assets, net	$	170,433	$	(66,690	)	$	103,743

Amortization expense for intangible assets during the second quarter of fiscal 2018 was $1.8 million, compared to $2.5 million for the same period last fiscal year. Amortization expense for intangible assets during the first six months of fiscal 2018 was $3.6 million, compared to $4.9 million for the same period last fiscal year. Estimated amortization expense for the remainder of fiscal 2018 and succeeding fiscal years is as follows: fiscal 2018 (remainder), $3.7 million; fiscal 2019, $6.7 million; fiscal 2020, $6.2 million; fiscal 2021, $5.8 million; fiscal 2022, $5.6 million; fiscal 2023, $5.2 million; and after fiscal 2023, $45.8 million.

- 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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