Goodwill and Other Intangible Assets

12 Months Ended

May 31, 2014

NOTE C – GOODWILL AND OTHER INTANGIBLE ASSETS

The changes in the carrying amount of goodwill, by reportable segment, for the years ended May 31, 2014 and 2013, are as follows:


(In thousands)	Industrial Segment		Consumer Segment		Total
Balance as of June 1, 2012	$	465,891	$	383,455	$	849,346
Acquisitions		98,718		162,071		260,789
Translation adjustments		209		3,487		3,696

Balance as of May 31, 2013		564,818		549,013		1,113,831
Acquisitions		3,147		18,149		21,296
Translation adjustments		4,193		8,054		12,247

Balance as of May 31, 2014	$	572,158	$	575,216	$	1,147,374

Total accumulated impairment losses were $14.9 million at May 31, 2014 and 2013, which was recorded during the fiscal year ended May 31, 2009 by our industrial reportable segment.

Other intangible assets consist of the following major classes:


(In thousands)	Amortization Period (In Years)		Gross Carrying Amount		Accumulated Amortization		Net Other Intangible Assets
As of May 31, 2014
Amortized intangible assets
Formulae		3 to 33	$	226,200	$	124,413	$	101,787
Customer-related intangibles		3 to 33		201,968		80,667		121,301
Trademarks/names		3 to 40		33,219		15,435		17,784
Other		2 to 40		57,476		30,329		27,147

Total Amortized Intangibles				518,863		250,844		268,019
Indefinite-lived intangible assets
Trademarks/names				191,517				191,517

Total Other Intangible Assets			$	710,380	$	250,844	$	459,536

As of May 31, 2013
Amortized intangible assets
Formulae		3 to 33	$	216,418	$	113,315	$	103,103
Customer-related intangibles		3 to 33		196,376		66,077		130,299
Trademarks/names		2 to 40		30,223		13,222		17,001
Other		1 to 40		48,817		27,046		21,771

Total Amortized Intangibles				491,834		219,660		272,174
Indefinite-lived intangible assets
Trademarks/names				187,439				187,439

Total Other Intangible Assets			$	679,273	$	219,660	$	459,613

The aggregate intangible asset amortization expense for the fiscal years ended May 31, 2014, 2013 and 2012 was $28.2 million, $27.7 million and $21.4 million, respectively. For the next five fiscal years, we estimate annual intangible asset amortization expense related to our existing intangible assets to approximate the following: 2015 — $26.5 million, 2016 — $25.6 million, 2017 — $25.1 million, 2018 — $24.4 million and 2019 — $23.1 million.

- 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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