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Goodwill and Intangible Assets
3 Months Ended
Sep. 23, 2017
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets [Text Block]
GOODWILL AND INTANGIBLE ASSETS

Goodwill

The Company monitors the recoverability of goodwill recorded in connection with acquisitions, by reporting unit, annually, or more often if events or changes in circumstances indicate that the carrying amount may not be recoverable.

Fiscal Year 2018

No indicators or instances of impairment were identified in the three months ended September 23, 2017.

Fiscal Year 2017

In fiscal year 2017, the Company elected to perform a qualitative analysis to assess impairment of goodwill rather than to perform the quantitative goodwill impairment test. The key qualitative factors considered in the assessment included the change in the industry and competitive environment, market capitalization, and overall financial performance. Based on the results of this qualitative analysis, the Company determined that it was more likely than not that the fair value of each reporting unit exceeded its carrying value, and therefore, the Company concluded that goodwill was not impaired in fiscal year 2017.

Intangible Assets

The useful lives of amortizable intangible assets are as follows:

Asset
 
Life
Intellectual property
 
1-10 years
Customer relationships
 
3-10 years
Trade name
 
1-4 years
Patents
 
5 years


Intangible assets consisted of the following:

 
September 23,
2017
 
June 24,
2017
 
Original
Cost 
 
Accumulated
Amortization 
 
Net
 
Original
Cost 
 
Accumulated
Amortization 
 
Net
 
(in thousands)
Intellectual property
$
453,685

 
$
388,870

 
$
64,815

 
$
451,885

 
$
377,806

 
$
74,079

Customer relationships
115,634

 
101,034

 
14,600

 
115,634

 
99,812

 
15,822

Trade name
8,500

 
8,486

 
14

 
8,500

 
8,086

 
414

Patents
2,500

 
2,079

 
421

 
2,500

 
1,948

 
552

Total amortizable purchased intangible assets
580,319

 
500,469

 
79,850

 
578,519

 
487,652

 
90,867

IPR&D

 

 

 

 

 

Total purchased intangible assets
$
580,319

 
$
500,469

 
$
79,850

 
$
578,519

 
$
487,652

 
$
90,867





The following table presents the amortization expense of intangible assets and its presentation in the Condensed Consolidated Statements of Income:

 
Three Months Ended
 
September 23,
2017
 
September 24,
2016
 
(in thousands)
Cost of goods sold
$
11,064

 
$
12,602

Intangible asset amortization
1,752

 
2,443

Total intangible asset amortization expenses
$
12,816

 
$
15,045



The following table represents the estimated future amortization expense of intangible assets as of September 23, 2017:

Fiscal Year
 
Amount
 
 
(in thousands)
Remaining nine months of 2018
 
$
35,555

2019
 
20,161

2020
 
10,242

2021
 
8,454

2022
 
2,862

Thereafter
 
2,576

Total intangible assets
 
$
79,850