XML 15 R10.htm IDEA: XBRL DOCUMENT v2.4.0.8
Business Acquisitions, Goodwill and Intangible Assets
9 Months Ended
Jun. 30, 2013
Business Acquisitions, Goodwill and Intangible Assets  
Business Acquisitions, Goodwill and Intangible Assets

4.              Business Acquisitions, Goodwill and Intangible Assets

 

Consideration for business acquisitions during the nine months ended June 30, 2013 totaled $55.0 million in cash and $14.3 million in stock. Business acquisitions included South Africa-based BKS Group and Asia-based KPK Quantity Surveyors. These business acquisitions did not meet the quantitative thresholds, either individually or in the aggregate, to require pro forma disclosures of operating results based on the Company’s consolidated assets and income.

 

At the time of acquisition, the Company preliminarily estimates the amount of the identifiable intangible assets acquired based upon historical valuations of similar acquisitions and the facts and circumstances available at the time. The Company determines the final value of the identifiable intangible assets as soon as information is available, but not more than 12 months from the date of acquisition. Post-acquisition adjustments primarily relate to project related liabilities.

 

The changes in the carrying value of goodwill by reportable segment for the nine months ended June 30, 2013 and 2012 were as follows:

 

 

 

September 30,
2012

 

Post-
Acquisition
Adjustments

 

Foreign
Exchange
Impact

 

Acquired

 

June 30, 2013

 

 

 

 

 

 

 

(in millions)

 

 

 

 

 

Professional Technical Services

 

$

1,608.6

 

$

 

$

(43.4

)

$

65.3

 

$

1,630.5

 

Management Support Services

 

166.8

 

 

 

 

166.8

 

Total

 

$

1,775.4

 

$

 

$

(43.4

)

$

65.3

 

$

1,797.3

 

 

 

 

September 30,
2011

 

Post-
Acquisition
Adjustments

 

Foreign
Exchange
Impact

 

Acquired

 

June 30, 2012

 

 

 

 

 

 

 

(in millions)

 

 

 

 

 

Professional Technical Services

 

$

1,733.9

 

$

(0.3

)

$

5.5

 

$

10.7

 

$

1,749.8

 

Management Support Services

 

352.4

 

7.5

 

 

 

359.9

 

Total

 

$

2,086.3

 

$

7.2

 

$

5.5

 

$

10.7

 

$

2,109.7

 

 

The gross amounts and accumulated amortization of the Company’s acquired identifiable intangible assets with finite useful lives as of June 30, 2013 and September 30, 2012, included in intangible assets—net, in the accompanying consolidated balance sheets, were as follows:

 

 

 

June 30, 2013

 

September 30, 2012

 

 

 

 

 

Gross

 

Accumulated

 

Intangible

 

Gross

 

Accumulated

 

Intangible

 

Amortization

 

 

 

Amount

 

Amortization

 

Assets, Net

 

Amount

 

Amortization

 

Assets, Net

 

Period

 

 

 

(in millions)

 

(years)

 

Backlog

 

$

94.9

 

$

(88.1

)

$

6.8

 

$

91.1

 

$

(83.8

)

$

7.3

 

1—5

 

Customer relationships

 

146.3

 

(65.7

)

80.6

 

143.6

 

(54.1

)

89.5

 

10

 

Trademark / tradename

 

7.8

 

(7.8

)

 

7.8

 

(7.6

)

0.2

 

2

 

Total

 

$

249.0

 

$

(161.6

)

$

87.4

 

$

242.5

 

$

(145.5

)

$

97.0

 

 

 

 

Amortization expense of acquired intangible assets included within cost of revenue was $16.1 million and $17.7 million for the nine months ended June 30, 2013 and 2012, respectively. The following table presents estimated amortization expense of intangible assets for the remainder of fiscal 2013 and for the succeeding years:

 

Fiscal Year

 

(in millions)

 

2013 (three months remaining)

 

$

5.0

 

2014

 

18.6

 

2015

 

15.7

 

2016

 

13.0

 

2017

 

11.7

 

Thereafter

 

23.4

 

Total

 

$

87.4