Intangible Assets

12 Months Ended

Dec. 30, 2011

Goodwill and Intangible Assets [Abstract]

6. INTANGIBLE ASSETS

Amortizing intangible assets are comprised of the following (in thousands):

At	December 30, 2011		Gross Carrying Amount		Accumulated Amortization		Foreign Currency Translation		Net Carrying Amount
Purchased technology and patents		$	97,324	$	(54,054)	$	842	$	44,112
Customer lists			66,388		(14,009)		1,807		54,186
Other			5,174		(4,019)		805		1,960
Total amortizing intangible assets		$	168,886	$	(72,082)	$	3,454	$	100,258

At	December 31, 2010
Purchased technology and patents		$	83,023	$	(48,187)	$	1,212	$	36,048
Customer lists			46,818		(10,577)		2,119		38,360
Other			3,519		(2,862)		49		706
Total amortizing intangible assets		$	133,360	$	(61,626)	$	3,380	$	75,114

Aggregate intangible asset amortization expense is comprised of the following (in thousands):

	Year Ended
	December 30,		December 31,		January 1,
	2011		2010		2010
Cost of sales	$	6,163	$	5,897	$	6,331
Selling, general and administrative expenses		3,926		3,765		3,729
Research, development and engineering costs		367		-		-
Total intangible asset amortization expense	$	10,456	$	9,662	$	10,060

Estimated future intangible asset amortization expense based upon the current carrying value is as follows (in thousands):
	Estimated
	Amortization
	Expense
2012	$	14,225
2013		13,384
2014		13,533
2015		12,334
2016		10,123
Thereafter		36,659
Total estimated amortization expense	$	100,258

During 2011, the Company made various asset purchases of technology and patents totaling $6.3 million, which is being amortized over a weighted average period of approximately 11 years. In connection with these purchases, the Company recorded a $3.0 million contingent liability, which will only be paid if certain sales targets for products that utilize that technology are achieved. This contingent liability is currently classified in Other Long-Term Liabilities.

As a result of the successful rebranding of the Company, during the fourth quarter of 2009, the Company wrote-down its non-Greatbatch trademarks and tradenames by $15.9 million. This charge was recorded based upon the Company's decision to discontinue use of the associated tradenames and determination that there were no market participants willing to purchase the previously acquired tradenames. In addition to the above, the Company incurred expense of $0.7 million in 2009 related to its rebranding initiative, which includes additional advertising costs, and is included in SG&A. As of December 30, 2011 and December 31, 2010, the Company had a $20.3 million indefinite-lived intangible asset recorded relating to its Greatbatch tradename.

The change in goodwill during 2011 is as follows (in thousands):

			Greatbatch Medical		Electrochem		Total
At	December 31, 2010	$	297,508	$	9,943	$	307,451
Goodwill acquired			-		31,478		31,478
Foreign currency translation			(276)		0		(276)
At	December 30, 2011	$	297,232	$	41,421	$	338,653

As of December 30, 2011, no accumulated impairment loss has been recognized for the goodwill allocated to the Company's Greatbatch Medical or Electrochem segments.

- 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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