Goodwill and Other Intangibles

12 Months Ended

Jun. 30, 2012

Goodwill and Other Intangibles [Abstract]

The changes in the carrying amount of goodwill and the amount allocated by reportable segment for the years presented are as follows:



	Broadline		SYGMA		Other		Total
		(In thousands)
Carrying amount as of July 3, 2010	$	1,118,882	$	32,609	$	398,324	$	1,549,815
Goodwill acquired during year		43,255		-		792		44,047
Currency translation/other		39,128		-		299		39,427
Carrying amount as of July 2, 2011		1,201,265		32,609		399,415		1,633,289
Goodwill acquired during year		48,911		-		13,677		62,588
Currency translation/other		(30,064)		-		(202)		(30,266)
Carrying amount as of June 30, 2012	$	1,220,112	$	32,609	$	412,890	$	1,665,611

Amortized intangible assets acquired during fiscal 2012 were $33.0 million with a weighted-average amortization period of eight years. By intangible asset category, the amortized intangible assets acquired during fiscal 2012 were customer relationships of $25.9 million with a weighted-average amortization period of nine years, non-compete agreements of $4.8 million with a weighted-average amortization period of five years and amortized trademarks of $2.3 million with a weighted-average amortization period of 10 years. Indefinite-lived licenses acquired during fiscal 2012 were $1.0 million.

The following table presents details of the company’s amortized intangible assets:



	June 30, 2012						July 2, 2011
	Gross Carrying Amount		Accumulated Amortization		Net		Gross Carrying Amount		Accumulated Amortization		Net
	(In thousands)
Customer relationships	$	200,801	$	(110,080)	$	90,721	$	190,112	$	(97,846)	$	92,266
Non-compete agreements		8,453		(2,024)		6,429		4,574		(1,269)		3,305
Trademarks		3,759		(518)		3,241		1,623		(282)		1,341
Total amortized intangible assets	$	213,013	$	(112,622)	$	100,391	$	196,309	$	(99,397)	$	96,912

Intangible assets that have been fully amortized have been removed in the schedule above in the period full amortization is reached.

The following table presents details of the company’s indefinite-lived intangible assets:



	June 30, 2012		July 2, 2011
	(In thousands)
Trademarks	$	12,214	$	13,026
Licenses		966		-
Total indefinite-lived intangible assets	$	13,180	$	13,026

Amortization expense for the past three years was $24.9 million in 2012, $21.9 million in 2011 and $20.9 million in 2010. The estimated future amortization expense for the next five fiscal years on intangible assets outstanding as of June 30, 2012 is shown below:



	Amount
	(In thousands)
2013	$	24,987
2014		23,525
2015		18,914
2016		12,209
2017		7,505

- 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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