Acquisition of Magellan (Tables)

9 Months Ended

Jun. 30, 2017

Business Acquisition, Results of Acquired Entity Included in Consolidated Results

The results of Magellan included in the Company’s consolidated results for the three and nine months ended June 30, 2017 and 2016 are as follows, reflecting the items noted above, including the $6,628 goodwill impairment charge, and excluding interest expense on the debt secured by Meridian in connection with the transaction:


	Three Months Ended June 30,					Nine Months Ended June 30,
	2017			2016		2017			2016
Net Revenues	$	4,330		$	4,752	$	13,174		$	4,752
Net Earnings	$	(6,316	)	$	231	$	(6,128	)	$	231

Schedule of Amounts of Identifiable Assets Acquired and Liabilities Assumed in Acquisition

The recognized amounts of identifiable assets acquired and liabilities assumed in the acquisition of Magellan were as follows:


	March 24, 2016 (as initially reported)		Measurement Period Adjustments			March 24, 2016 (as adjusted)
Fair value of assets acquired -
Cash and equivalents	$	3,400	$	—		$	3,400
Accounts receivable		1,700		—			1,700
Inventories		1,400		—			1,400
Other current assets		300		—			300
Property, plant and equipment		2,800		(200	)		2,600
Goodwill		42,800		(2,200	)		40,600
Other intangible assets (estimated useful life):
Customer relationships (15 years)		12,600		300			12,900
Technology (10 years)		10,600		300			10,900
Non-compete agreements (2 years)		700		—			700
Trade names (approximate 9 year weighted average)		3,700		(700	)		3,000

		80,000		(2,500	)		77,500
Fair value of liabilities assumed -
Accounts payable and accrued expenses		1,600		100			1,700
Deferred income tax liabilities		10,600		(2,700	)		7,900

Total consideration (including $2,400 accrued to be paid; see discussion above)	$	67,800	$	100		$	67,900

Business Acquisition, Pro Forma Information

The consolidated pro forma results of the combined entities of Meridian and Magellan, had the acquisition date been October 1, 2015, are as follows for the periods indicated:


	Three Months				Nine Months
	Ended June 30,				Ended June 30,
	2017		2016		2017		2016
Net Revenues	$	50,140	$	50,665	$	151,074	$	156,722
Net Earnings	$	240	$	8,827	$	15,831	$	26,891