Goodwill and Other Identifiable Intangible Assets

9 Months Ended

Oct. 01, 2011

Goodwill and Other Identifiable Intangible Assets

8. Goodwill and Other Identifiable Intangible Assets

The changes in the carrying amount of goodwill by segment were as follows:


In thousands	December 31, 2010		Acquisitions/ Divestitures		Foreign Currency Translation/Other			October 1, 2011
Water Group	$	1,784,100	$	466,182	$	(15,961	)	$	2,234,321
Technical Products Group		281,944		—		427			282,371

Consolidated Total	$	2,066,044	$	466,182	$	(15,534	)	$	2,516,692


In thousands	December 31, 2009		Acquisitions/ Divestitures		Foreign Currency Translation/Other			October 2, 2010
Water Group	$	1,802,913	$	—	$	(14,754	)	$	1,788,159
Technical Products Group		285,884		—		(3,132	)		282,752

Consolidated Total	$	2,088,797	$	—	$	(17,886	)	$	2,070,911

The detail of acquired intangible assets consisted of the following:


	October 1, 2011							December 31, 2010							October 2, 2010
	Gross							Gross							Gross
	carrying		Accumulated					carrying		Accumulated					carrying		Accumulated
In thousands	amount		amortization			Net		amount		amortization			Net		amount		amortization			Net
Finite-life intangibles
Patents	$	5,893	$	(3,908	)	$	1,985	$	15,469	$	(12,695	)	$	2,774	$	15,462	$	(12,400	)	$	3,062
Proprietary technology		131,972		(37,094	)		94,878		74,176		(29,862	)		44,314		74,102		(28,306	)		45,796
Customer relationships		366,540		(102,919	)		263,621		282,479		(82,901	)		199,578		283,313		(78,461	)		204,852
Trade names		1,537		(500	)		1,037		1,532		(383	)		1,149		1,538		(345	)		1,193

Total finite-life intangibles	$	505,942	$	(144,421	)	$	361,521	$	373,656	$	(125,841	)	$	247,815	$	374,415	$	(119,512	)	$	254,903

Indefinite-life intangibles
Trade names		257,741		—			257,741		205,755		—			205,755		206,475		—			206,475

Total intangibles, net	$	763,683	$	(144,421	)	$	619,262	$	579,411	$	(125,841	)	$	453,570	$	580,890	$	(119,512	)	$	461,378

Intangible asset amortization expense was approximately $12.6 million and $6.3 million for the three months ended October 1, 2011 and October 2, 2010, respectively, and was approximately $29.8 million and $18.1 million for the nine months ended October 1, 2011 and October 2, 2010, respectively.

The estimated future amortization expense for identifiable intangible assets during the remainder of 2011 and the next five years is as follows:


In thousands	2011 Q4		2012		2013		2014		2015		2016
Estimated amortization expense	$	12,183	$	39,853	$	39,688	$	39,314	$	39,032	$	38,050

- 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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