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Goodwill
9 Months Ended
Mar. 31, 2015
Goodwill And Intangible Assets Disclosure [Abstract]  
Goodwill

(4) GOODWILL

The Company’s goodwill balance was $1,194.2 and $845.3 as of March 31, 2015 and June 30, 2014, respectively. Additions to goodwill during the nine months ended March 31, 2015 relate to the acquisitions of AtlantaNAP, Neo, IdeaTek and Latisys (see Note 2 - Acquisitions).

The Company’s reporting units are comprised of its strategic product groups (“SPGs”): Zayo Dark Fiber (“Dark Fiber”), Zayo Wavelength Services (“Waves”), Zayo SONET Services (“SONET”), Zayo Ethernet Services (“Ethernet”), Zayo IP Services (“IP”), Zayo Mobile Infrastructure Group (“MIG”), Zayo Colocation (“zColo"), Cloud and Other (includes Zayo Professional Services ("ZPS") and Zayo France). The following roll forward reflects the allocation of goodwill acquired in the Company’s Fiscal 2014 and 2015 acquisitions to the Company’s reporting units:

 

Product Group

 

As of

June 30, 2014

 

 

Fiscal 2015 acquisitions

 

 

Adjustments to Fiscal 2014 acquisitions

 

 

Foreign currency translation

 

 

As of

March 31, 2015

 

Dark Fiber

 

$

269.9

 

 

$

0.8

 

 

$

15.3

 

 

$

(10.2

)

 

$

275.8

 

Waves

 

 

270.0

 

 

 

 

 

(0.1

)

 

 

(7.6

)

 

 

262.3

 

Sonet

 

 

50.3

 

 

 

 

 

 

 

 

 

50.3

 

Ethernet

 

 

96.7

 

 

 

4.5

 

 

 

 

 

(0.2

)

 

 

101.0

 

IP

 

 

80.4

 

 

 

1.9

 

 

 

 

 

(0.3

)

 

 

82.0

 

MIG

 

 

43.7

 

 

 

22.3

 

 

 

 

 

 

 

66.0

 

zColo

 

 

19.6

 

 

 

252.4

 

 

 

(1.1

)

 

 

(0.1

)

 

 

270.8

 

Cloud

 

 

 

 

52.5

 

 

 

 

 

 

 

52.5

 

Other

 

 

14.7

 

 

 

23.7

 

 

 

 

 

(4.9

)

 

 

33.5

 

Total

 

$

845.3

 

 

$

358.1

 

 

$

14.1

 

 

$

(23.3

)

 

$

1,194.2

 

 

 

During the nine months ended March 31, 2015, goodwill decreased by $23.3 due to foreign currency movements impacting goodwill allocated to the U.K. and France operations.

In addition, the Company has recast goodwill reported in the consolidated balance sheet as of June 30, 2014 in connection with the Company’s final valuation of property, plant and equipment and intangible assets and associated deferred taxes impact for the Access and FiberLink acquisitions, which resulted in a net decrease to goodwill of $15.8 (see Note 2 - Acquisitions).

Previously reported provisional allocations of goodwill to the Waves and Dark Fiber reporting units have been adjusted as of June 30, 2014 in relation to the Geo acquisition, with a corresponding increase in goodwill allocated to the Waves SPG of $27.5 and an offsetting decrease in goodwill allocated to the Dark Fiber reporting unit.