Goodwill and Other Intangible Assets

9 Months Ended

Jun. 30, 2013

Goodwill and Other Intangible Assets

Note G — Goodwill and Other Intangible Assets

The Company has $4,050,000 of goodwill carrying value as of June 30, 2013 resulting from its acquisition in the UK of Rochester Medical Limited in 2006 and $4,807,000 of goodwill carrying value resulting from its acquisition in the Netherlands of Rochester Medical B.V. in 2011. The decrease in value of goodwill as of June 30, 2013 compared to September 30, 2012 is entirely related to the change in foreign currency exchange rates in the United Kingdom and the Eurozone.

The Company tests for goodwill asset impairment annually, which is currently on June 1 of each fiscal year, or more frequently if events and circumstances indicate that the asset might be impaired. The Company performed its most recent annual goodwill impairment testing at June 1, 2013. Based on the fair value calculated using the discounted cash flow income method in this annual evaluation we concluded goodwill was not impaired.

Intangible assets were as follows:

		June 30, 2013						September 30, 2012
	Estimated Lives (Years)	Gross Carrying Amount		Accumulated Amortization		Net Value		Gross Carrying Amount		Accumulated Amortization		Net Value
Trademarks	8 to 15	$	6,177,555	$	3,129,472	$	3,048,083	$	6,168,758	$	2,736,004	$	3,432,754
Supply agreement	5 to 6.5	764,096		674,391		89,705		762,579		634,050		128,529
Customer relationships	15 to 20	6,821,982		1,510,806		5,311,176		6,888,864		1,258,420		5,630,444
Patents	8	1,602,548		1,423,269		179,279		1,570,893		1,385,266		185,627
Totals		$	15,366,181	$	6,737,938	$	8,628,243	$	15,391,094	$	6, 013,740	$	9,377,354

- 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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