Goodwill and Other Intangible Assets

9 Months Ended

Mar. 30, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets [Text Block]

GOODWILL AND OTHER INTANGIBLE ASSETS

In fiscal 2013, there were additions to goodwill in the Consumer Healthcare segment related to the Sergeant's acquisition in the second quarter of fiscal 2013 and in the Rx Pharmaceuticals segment related to the Cobrek and Rosemont acquisitions in the second and third quarters of fiscal 2013, respectively. The Company performs its annual testing for goodwill and indefinite-lived intangible asset impairment at the beginning of the fourth fiscal quarter for all reporting units. Changes in the carrying amount of goodwill, by reportable segment, were as follows:



	Consumer Healthcare			Nutritionals		Rx Pharmaceuticals		API		Total
Balance as of June 30, 2012	$	138,910		$	331,744	$	220,769	$	86,334	$	777,757
Business acquisitions	80,229			—		160,959		—		241,188
Currency translation adjustment	(960		)	—		622		6,033		5,695
Balance as of March 30, 2013	$	218,179		$	331,744	$	382,350	$	92,367	$	1,024,640

Other intangible assets and related accumulated amortization consisted of the following:



	March 30, 2013				June 30, 2012				March 31, 2012
	Gross		Accumulated Amortization		Gross		Accumulated Amortization		Gross		Accumulated Amortization
Amortizable intangibles:
Developed product technology/formulation and product rights	$	779,570	$	187,377	$	542,094	$	140,489	$	549,356	$	131,815
Customer relationships	351,236		67,086		341,363		50,757		342,405		46,259
Distribution, license and supply agreements	81,566		28,991		52,609		23,686		53,004		22,838
Non-compete agreements	10,708		5,470		7,804		3,778		7,853		3,419
Trademarks	5,110		722		4,797		704		5,026		713
Total	1,228,190		289,646		948,667		219,414		957,644		205,044
Non-amortizable intangibles:
In-process research and development	46,255		—		35,000		—		35,000		—
Trade names and trademarks	57,059		—		7,365		—		7,481		—
Total other intangible assets	$	1,331,504	$	289,646	$	991,032	$	219,414	$	1,000,125	$	205,044

As of March 30, 2013, other intangible assets included additions made during the second and third quarters of fiscal 2013 attributable to the Rosemont, Sergeant's and Cobrek acquisitions. Certain intangible assets are denominated in currencies other than the U.S. dollar; therefore, their gross and net carrying values are subject to foreign currency movements.

The Company recorded amortization expense of $64,958 and $56,313 for the first nine months of fiscal 2013 and 2012, respectively, for intangible assets subject to amortization. The increase in amortization expense is due primarily to the incremental amortization expense incurred on the amortizable intangible assets acquired as part of the Rosemont, Sergeant's and Cobrek acquisitions.

Estimated future amortization expense includes the additional amortization related to recently acquired intangible assets currently subject to amortization. No estimate of future amortization expense related to the subsequent acquisition of Velcera, Inc. ("Velcera") has been included in the table below (see Note 15 - Subsequent Events). The estimated amortization expense for each of the following five years is as follows:



Fiscal Year	Amount
2013⁽¹⁾	$	27,300
2014	108,700
2015	107,500
2016	104,900
2017	102,300

⁽¹⁾ Reflects remaining three months of fiscal 2013.

- 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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