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Subsequent Events
9 Months Ended
Mar. 31, 2013
Subsequent Events [Abstract]  
Subsequent Events

Note 23 – Subsequent Events

Dividend Declaration

On May 2, 2013, we declared a cash dividend of $0.15 per share for the quarter ended March 31, 2013. The quarterly dividend will be paid on May 28, 2013 to each stockholder of record as of the close of business on May 13, 2013.

 

Acquisition of iOnRoad Technolognies, Ltd.

On April 10, 2013 (the “iOnRoad Acquisition Date”), we acquired all of the outstanding shares of iOnRoad Technologies, Ltd. (“iOnRoad”), a developer of vehicle safety systems also know as Advanced Driver Assistance Systems (ADAS), for a total purchase price of $8.0 million. The acquisition is subject to a $1.2 million indemnification holdback which is payable contingent upon the timing of certain events, which are expected to occur within two years subsequent to the iOnRoad Acquisition Date. The assets and liabilities and results of operations of iOnRoad will be included in our consolidated financial statements within our Infotainment segment from the iOnRoad Acquisition Date forward. Pro forma financial information will not be provided as iOnRoad is not material to our results of operations.

Transfer of Ownership of Manufacturing Facility

On April 10, 2013 (the “Schaidt Agreement Date”), Harman Becker Automotive Systems, GmbH (“HBAS”), a wholly-owned subsidiary of Harman, entered into an agreement to transfer the ownership of an automotive manufacturing plant in Germany to a third party, Schaidt KG (“Schaidt KG”). Schaidt KG will manufacture and supply products for HBAS based on HBAS’s orders. As compensation for the assumption by Schaidt KG of certain of HBAS’s obligations, HBAS has agreed to pay Schaidt KG €37.6 million or approximately $48.2 million plus a bonus of €4.0 million or $5.1 million, if Schaidt KG meets certain supply obligations, as defined in the agreement. We have determined that Schaidt KG is a variable interest entity and we are the primary beneficiary. As a result, the assets and liabilities and results of operations of Schaidt KG will be included in our consolidated financial statements from the Schaidt Agreement Date forward.