Goodwill and intangible assets

12 Months Ended

Jun. 28, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

The following table presents the change in goodwill balances by reportable segment for fiscal year 2014. All of the accumulated impairment was recognized in fiscal 2009.



	Electronics Marketing			Technology Solutions			Total
	(Thousands)
Gross goodwill	$	1,646,940		$	994,082		$	2,641,022
Accumulated impairment	(1,045,110		)	(334,624		)	(1,379,734		)
Carrying value at June 29, 2013	601,830			659,458			1,261,288
Additions	51,994			10,622			62,616
Adjustments	2,039			552			2,591
Foreign currency translation	12,594			9,379			21,973
Carrying value at June 28, 2014	$	668,457		$	680,011		$	1,348,468
Gross goodwill	$	1,713,567		$	1,014,635		$	2,728,202
Accumulated impairment	(1,045,110		)	(334,624		)	(1,379,734		)
Carrying value at June 28, 2014	$	668,457		$	680,011		$	1,348,468

The goodwill additions are a result of businesses acquired during fiscal 2014 (see Note 2) and goodwill adjustments represent the net purchase accounting adjustments for acquisitions during the related measurement periods.

Goodwill represents the excess of the purchase price of acquired businesses over the estimated fair value assigned to the individual assets acquired and liabilities assumed. The Company is required to test goodwill for impairment at least annually as of the first day of its fiscal fourth quarter. The Company will perform an impairment test between required annual tests if facts and circumstances indicate that it is more likely than not that the fair value of a reporting unit that has goodwill is less than its carrying value. Once goodwill has been assigned to a reporting unit, for accounting purposes, the goodwill is no longer directly associated with the underlying acquisitions that the goodwill originated from, but rather the reporting unit to which it has been assigned. During Fiscal 2014, 2013 and 2012 the Company elected to perform the first-step of the two-step goodwill impairment test instead of first performing a qualitative goodwill impairment test.

The first step in a two-step impairment test is the comparison of the fair value of a reporting unit with its carrying amount, including goodwill. Based upon the Company’s annual impairment tests performed for fiscal 2014, 2013 and 2012, there was no impairment of goodwill in the respective fiscal years.

The following table presents the Company’s identifiable intangible assets, which have a weighted average life of approximately 8 years for each fiscal year presented:



	June 28, 2014							June 29, 2013
	Gross Acquired Amount		Accumulated Amortization			Net Book Value		Gross Acquired Amount		Accumulated Amortization			Net Book Value
	(Thousands)
Customer relationships	$	319,496	$	(155,604	)	$	163,892	$	276,107	$	(109,946	)	$	166,161
Trade name	5,993		(1,555		)	4,438		3,320		(480		)	2,840
Other	18,833		(2,855		)	15,978		4,177		(966		)	3,211
	$	344,322	$	(160,014	)	$	184,308	$	283,604	$	(111,392	)	$	172,212

Intangible asset amortization expense was $44.7 million, $32.3 million and $27.8 million for fiscal 2014, 2013 and 2012 respectively. The following table presents the estimated future amortization expense for the next five fiscal years and thereafter (in thousands):



Fiscal Year	Amortization Expense
2015	$	41,458
2016	35,512
2017	33,478
2018	24,900
2019	20,756
Thereafter	28,204
Total	$	184,308

- 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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