Goodwill And Intangible Assets

6 Months Ended

Dec. 31, 2011

Goodwill And Intangible Assets [Abstract]

7. Goodwill and intangible assets Goodwill

Summarized below is the movement in the carrying value of goodwill for the three months ended December 31, 2011.


	Carrying value
	Carrying value
Balance as of June 30, 2011	$	209,570
Reduction in goodwill related to net settlement (note 2)		(4,945	)
Foreign currency adjustment ⁽¹⁾		(20,798	)
Balance as of December 31, 2011	$	183,827

(1) – the foreign currency adjustment represents the effects of the fluctuations between the ZAR against the US dollar and the KRW against the US dollar.

Goodwill has been allocated to the Company's reportable segments as follows:


	As of December 31, 2011		As of June 30, 2011
SA transaction-based activities	$	35,313	$	42,005
International transaction-based activities		111,720		124,895
Smart card accounts		-		-
Financial services		-		-
Hardware, software and related technology sales		36,794		42,670
Total	$	183,827	$	209,570

Intangible assets

Carrying value and amortization of intangible assets

Summarized below is the carrying value and accumulated amortization of the intangible assets as of December 31, 2011 and June 30, 2011:


	As of December 31, 2011							As of June 30, 2011
	Gross carrying value		Accumulated amortization			Net carrying value		Gross carrying value		Accumulated amortization			Net carrying value
Finite-lived intangible
assets:
Customer relationships(1)	$	91,991	$	(17,913	)	$	74,078	$	100,155	$	(15,283	)	$	84,872
Software and unpatented
technology(1)		36,290		(12,150	)		24,140		37,697		(8,999	)		28,698
FTS patent		4,706		(4,706	)		-		5,598		(5,598	)		-
Exclusive licenses		4,506		(4,506	)		-		4,506		(4,506	)		-
Trademarks		7,185		(2,244	)		4,941		8,130		(2,288	)		5,842
Customer database		747		(498	)		249		888		(444	)		444
Total finite-lived
intangible assets	$	145,425	$	(42,017	)	$	103,408	$	156,974	$	(37,118	)	$	119,856

(1) Includes the customer relationships and software and unpatented technology acquired as part of the Eason acquisition in October 2011.

Aggregate amortization expense on the finite-lived intangible assets for the three and six months ended December 31, 2011, was approximately $4.9 million and $9.6 million, respectively (three and six months ended December 31, 2010, was approximately $6.1 million and $10.3 million, respectively).

Future estimated annual amortization expense for the next five fiscal years, assuming exchange rates prevailing on December 31, 2011, is presented in the table below. Actual amortization expense in future periods could differ from this estimate as a result of acquisitions, changes in useful lives, exchange rate fluctuations and other relevant factors.


2012	$	17,032
2013		14,709
2014		14,126
2015		10,788
2016	$	8,514

- 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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