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Subsequent Events
12 Months Ended
Jun. 30, 2011
Subsequent Events  
Subsequent Events

Note 24 – Subsequent Events

Change in Segment Reporting

Effective July 1, 2011, we reorganized our business segments. Our new business segments now consist of Infotainment, Lifestyle, Professional and Other. Our Infotainment segment consists of the infotainment business previously reported in our Automotive segment and the results of Aha, previously reported in our Other segment. Our Lifestyle segment consists of the audio business previously reported in our Automotive segment, our Consumer segment and Luxury Home Audio, which was previously reported in our Professional segment. This change is designed to realign our organization to unlock earnings growth and to better align with consumer lifestyle preferences.

Acquisition

On July 22, 2011, (the "MWM Acquisition Date"), we and our wholly-owned subsidiary, Harman Holding Limited ("Harman Holding"), entered into an equity securities purchase agreement with a group of sellers (the "MWM Sellers") to acquire all of the issued and outstanding shares of the MWM Acoustics group of companies ("MWM Acoustics"), a leading provider of high performance, embedded acoustic solutions (the "MWM Acquisition"), the purchase price $80.0 million (the "Fixed Purchase Price"), which is subject to a working capital adjustment. The working capital adjustment is to be determined within 60 days of the MWM Acquisition Date. On the MWM Acquisition Date, we and Harman Holding paid the MWM Sellers a total of $72.0 million. The remainder of the Fixed Purchase Price of $8.0 million will be payable on the later of December 31, 2012, or upon the resolution of any outstanding indemnification claims. The acquisition is also subject to a $57.0 million earn-out which is payable contingent on the achievement of certain financial targets in the fiscal year ended June 30, 2014. The total cost of the MWM Acquisition, including the fair value of the earn-out, will be allocated to the assets acquired and liabilities assumed based on their fair values at the MWM Acquisition Date. We are in the process of finalizing the valuation of the net assets acquired. The results of MWM Acoustics will be reported in our Lifestyle segment.

Dividend Declaration

On August 10, 2011, we declared a cash dividend of $0.075 per share for the quarter ended June 30, 2011. The quarterly dividend will be paid on September 6, 2011 to each stockholder of record as of the close of business on August 22, 2011.