Finisar Acquisition

3 Months Ended

Sep. 30, 2020

Business Combinations [Abstract]

Finisar Acquisition

Finisar AcquisitionOn September 24, 2019 (the “Closing Date”), the Company completed its acquisition of Finisar, a global technology leader for subsystems and components for fiber optic communications.

The purchase price allocation set forth herein is final. The Company utilized widely accepted income-based, market-based, and cost-based valuation approaches to perform the purchase price allocation. Income-based valuation approaches included the use of the discounted cash flow and relief-from-royalty methods for certain acquired intangible assets.

Our final allocation of the purchase price of Finisar, based on the estimated fair value of the assets acquired and liabilities assumed as of the Closing Date, is as follows (in $000):

	Final Purchase Price Allocation
	Previously				Measurement
	Reported		Reclassification		Period
	September 30, 2019		Adjustments		Adjustments (a)		As Adjusted
Cash and cash equivalents	$	842,764	$	(287)	$	—	$	842,477
Accounts receivable	260,864		—		(1,523)		259,341
Inventories	437,867		—		1,841		439,708
Property, plant & equipment	748,858		—		(91,145)		657,713
Intangible assets	827,689		—		(162,489)		665,200
Other assets	82,624		287		(6,443)		76,468
Deferred tax assets	—		—		16,267		16,267
Accounts payable	(123,707)		—		—		(123,707)
Other accrued liabilities (a)	(148,425)		(43,964)		(3,199)		(195,588)
Deferred tax liabilities (a)	(197,809)		43,964		85,179		(68,666)
Debt	(575,000)		—		—		(575,000)
Goodwill (a)	759,239		—		155,051		914,290
Total Purchase Price	$	2,914,964	$	—	$	(6,461)	$	2,908,503

(a) During the quarter ended September 30, 2020, the Company finalized its warranty reserve liabilities resulting in a reduction of other accrued liabilities by approximately $6.5 million, with a corresponding decrease to goodwill and deferred tax liabilities.