XML 21 R10.htm IDEA: XBRL DOCUMENT v3.7.0.1
Goodwill
 9 Months Ended
Mar. 31, 2017
Goodwill [Abstract]  
Goodwill

(3) GOODWILL

The Company’s goodwill balance was $1,822.6 million and $1,214.5 million as of March 31, 2017 and June 30, 2016, respectively.

The Company’s reporting units are comprised of its strategic product groups (“SPGs”). Effective January 1, 2017, the Company implemented organizational changes which had an impact on the composition of the Company’s SPGs. The change in structure had the impact of consolidating and/or regrouping existing SPGs, disaggregating the legacy Zayo Canada SPG among the existing SPGs and a creating a new Allstream and IP Transit SPG (See Note 12 – Segment Reporting).   In connection with the organizational change, goodwill was re-allocated to the Company’s SPG’s on a relative fair value basis.  The Company completed an impairment test immediately prior to and after the organization change at the SPG level and no indicators of impairment were identified.     

As of March 31, 2017, the Company’s SPGs were comprised of the following: Fiber Solutions, Zayo Wavelength Services (“Waves”), Zayo IP Transit Services (“IP Transit”), Zayo SONET Services (“SONET”), Zayo Ethernet Services (“Ethernet”), Enterprise Private and Connectivity (EPIC), Zayo Cloud Services (“Cloud”),  Zayo Colocation (“zColo"), Allstream and Other (primarily ZPS).

The following reflects the changes in the carrying amount of goodwill and the amounts allocated to each reporting unit during the nine months ended March 31, 2017:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Product Group

    

As of June 30, 2016

 

Reallocation among reporting units

    

Adjustments to Fiscal 2016
Acquisitions

    

Fiscal 2017
Acquisitions

    

Foreign Currency
Translation and
Other

    

As of March 31, 2017

 

 

(in millions)

Dark Fiber

 

$

295.1

 

$

(295.1)

 

$

 —

 

$

 —

 

$

 —

 

$

 —

Fiber Solutions

 

 

 —

 

 

544.8

 

 

1.7

 

 

34.7

 

 

(8.9)

 

 

572.3

Waves

 

 

258.3

 

 

(104.0)

 

 

(2.7)

 

 

25.4

 

 

(2.7)

 

 

174.3

Sonet

 

 

51.3

 

 

0.7

 

 

 —

 

 

75.1

 

 

(0.1)

 

 

127.0

Ethernet

 

 

104.3

 

 

(59.8)

 

 

(0.5)

 

 

52.1

 

 

(0.1)

 

 

96.0

IP

 

 

87.5

 

 

(87.5)

 

 

 —

 

 

 —

 

 

 —

 

 

 —

MIG

 

 

73.6

 

 

(73.6)

 

 

 —

 

 

 —

 

 

 —

 

 

 —

EPIC

 

 

 —

 

 

89.5

 

 

 —

 

 

90.2

 

 

(0.2)

 

 

179.5

zColo

 

 

268.8

 

 

(15.0)

 

 

(3.7)

 

 

 —

 

 

0.2

 

 

250.3

Cloud

 

 

60.0

 

 

 —

 

 

(0.1)

 

 

2.2

 

 

 —

 

 

62.1

Allstream

 

 

 —

 

 

 —

 

 

 —

 

 

345.5

 

 

 —

 

 

345.5

Other

 

 

15.6

 

 

 —

 

 

 —

 

 

 —

 

 

 —

 

 

15.6

Total

 

$

1,214.5

 

$

 —

 

$

(5.3)

 

$

625.2

 

$

(11.8)

 

$

1,822.6