Business Acquisition (Tables)

9 Months Ended

Sep. 30, 2018

Schedule of acquired intangible assets

 The $494.7 million of acquired intangible assets are comprised of the following (in thousands):

	Preliminary Estimated Fair value		Estimated Weighted Average Life (years)
Technology and patents	$	217,900		5.4
Customer contracts and relationships		195,400		10.0
Tradenames		55,400		indefinite
Trademarks and tradenames		10,700		10.0
Backlog		15,300		0.3
Total estimated fair value of intangible assets	$	494,700

Ruckus Wireless and ICX Switch business (Ruckus Networks)

Schedule of fair value of consideration transferred

The following table summarizes the fair value of consideration transferred for Ruckus Networks (in thousands):

Cash consideration	$	779,743
Estimated working capital adjustments		(16,371	)
Non-cash consideration (1)		(2,359	)
Total consideration transferred	$	761,013

(1) Non-cash consideration represents a $2.4 million settlement of preexisting payables and receivables between Ruckus Networks and ARRIS.

Schedule of estimated fair values of net assets acquired

The following is a summary of the estimated fair values of the net assets acquired (in thousands):

	Amounts Recognized as  of Acquisition Date (a)			Adjustments			Amounts Recognized  as of Acquisition  Date (as adjusted)
Total estimated consideration transferred	$	761,013		$	—		$	761,013
Cash and cash equivalents		18,958			—			18,958
Accounts receivable, net		32,940			(5,999	)		26,941
Inventories		48,897			(461	)		48,436
Prepaids & other		4,836			(1,006	)		3,830
Property, plant & equipment		33,500			(1,637	)		31,863
Intangible assets		472,500			22,200			494,700
Other assets		39,528			(37,897	)		1,631
Accounts payable and accrued liabilities		(17,216	)		1,523			(15,693	)
Other current liabilities		(9,666	)		(1,988	)		(11,654	)
Deferred revenue		(47,718	)		970			(46,748	)
Noncurrent deferred income tax liabilities		(92,233	)		(7,643	)		(99,876	)
Other noncurrent liabilities		(41,347	)		39,160			(2,187	)
Net assets acquired		442,979			7,222			450,201
Goodwill	$	318,034			(7,222	)	$	310,812

(a) As previously reported as of December 31, 2017