Goodwill and Intangible Assets

6 Months Ended

Jul. 02, 2011

Goodwill and Intangible Assets [Abstract]

7. Goodwill and Intangible Assets

Changes to goodwill from December 31, 2010 through July 2, 2011 were as follows:


	2011
Gross goodwill balance as of January 1	$	108,707
Additional goodwill from Bauer acquisition		6,877
Impact of changes in foreign currency		1,298

Gross goodwill balance as of July 2		116,882


Accumulated impairment as of January 1		(31,810	)
Impairment charge during the period		—

Accumulated impairment as of July 2		(31,810	)

Net goodwill balance July 2, 2011	$	85,072

Other intangible assets as of July 2, 2011 and December 31, 2010 consisted of the following:


	July 2, 2011				December 31, 2010
			Accumulated					Accumulated
	Cost		Amortization		Cost			Amortization
Other intangible assets
Intangible assets not subject to amortization:
Tradenames and trademarks	$	34,125	$	—	$	30,730		$	—
Intangible assets subject to amortization:
Customer relationships		74,101		26,194		62,038			23,821
Product technology and patents		5,632		5,409		5,435			4,919
Impact of changes in foreign currency		514		—		(213	)		—

Total intangible assets	$	114,372	$	31,603	$	97,990		$	28,740

Related to the Bauer acquisition, the Company recorded an additional $15.5 million of intangible assets of which $12.1 million related to customer relationships which will be amortized on a straight line basis over 9 years, and $3.4 million related to tradenames and trademarks which are unamortized.

The Company recorded $1.5 million and $1.0 million of amortization expense in each of the quarters ended July 2, 2011 and July 3, 2010, respectively, and recorded $2.9 million and $2.4 million of amortization expense in the year to date periods ended July 2, 2011 and July 3, 2010, respectively.

The estimated amortization expense for intangible assets is approximately $3.4 million for the remainder of 2011, $6.8 million in 2012, and $6.3 million in each of the next three years and then $19.6 million thereafter.

- 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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