GOODWILL AND INTANGIBLE ASSETS

7 Months Ended

Dec. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

As of December 31, 2016, May 31, 2016 and 2015, goodwill and other intangible assets consisted of the following:



	December 31,		May 31,
	2016		2016		2015

	(in thousands)
Goodwill	$	4,807,594	$	4,829,405	$	1,491,833
Other intangible assets:
Customer-related intangible assets	$	1,864,731	$	1,864,709	$	718,011
Acquired technologies	547,151		549,293		93,194
Trademarks and trade names	188,311		188,763		10,777
Contract-based intangible assets	157,882		159,890		130,874
	2,758,075		2,762,655		952,856
Less accumulated amortization on:
Customer-related intangible assets	487,729		414,979		342,488
Acquired technologies	89,633		26,403		8,509
Trademarks and trade names	24,142		7,830		4,437
Contract-based intangible assets	71,279		48,735		37,286
	672,783		497,947		392,720
	$	2,085,292	$	2,264,708	$	560,136

The following table sets forth the changes in the carrying amount of goodwill for the 2016 fiscal transition period and for the fiscal years ended May 31, 2016 and 2015:



	North America			Europe			Asia-Pacific			Total

	(in thousands)
Balance at May 31, 2014	$	786,655		$	491,038		$	59,592		$	1,337,285
Goodwill acquired	4,794			67,220			192,225			264,239
Effect of foreign currency translation	(11,715		)	(72,337		)	(25,639		)	(109,691		)
Balance at May 31, 2015	779,734			485,921			226,178			1,491,833
Goodwill acquired	3,318,768			—			53,402			3,372,170
Effect of foreign currency translation	(3,872		)	(13,737		)	(15,397		)	(33,006		)
Measurement-period adjustments	(8,200		)	(411		)	7,019			(1,592		)
Balance at May 31, 2016	4,086,430			471,773			271,202			4,829,405
Goodwill acquired	—			28,820			—			28,820
Effect of foreign currency translation	(1,911		)	(45,265		)	(2,160		)	(49,336		)
Measurement-period adjustments	(1,267		)	(28		)	—			(1,295		)
Balance at December 31, 2016	$	4,083,252		$	455,300		$	269,042		$	4,807,594

There was no accumulated impairment loss as of December 31, 2016, May 31, 2016, May 31, 2015 or May 31, 2014.

Customer-related intangible assets acquired during the 2016 fiscal transition period had a weighted-average amortization period of 12.1 years. Customer-related intangible assets, acquired technologies and trademarks and trade names acquired during the fiscal year ended May 31, 2016 had weighted-average amortization periods of 13.9 years, 5.0 years and 7.0 years, respectively. Customer-related intangible assets, acquired technologies and trademarks and trade names acquired during the fiscal year ended May 31, 2015 had weighted-average amortization periods of 15.1 years, 9.1 years and 6.1 years, respectively. Amortization expense of acquired intangibles was $194.3 million for the 2016 fiscal transition period and $113.7 million, $72.6 million, and $61.9 million for fiscal years ended May 31, 2016, 2015 and 2014, respectively.

The estimated amortization expense of acquired intangibles as of December 31, 2016 for the next five years, calculated using the currency exchange rate at the date of acquisition, if applicable, is as follows (in thousands):



2017	$	343,063
2018	310,528
2019	287,938
2020	261,989
2021	187,021

- 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.

+ References + Details