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CAPITALIZATION OF SOFTWARE DEVELOPMENT COSTS
12 Months Ended
Apr. 02, 2016
Capitalization of Software and Development Costs [Abstract]  
CAPITALIZATION OF SOFTWARE DEVELOPMENT COSTS
CAPITALIZATION OF SOFTWARE DEVELOPMENT COSTS
The cost of software that is developed or obtained for internal use is accounted for pursuant to ASC Topic 350, Intangibles — Goodwill and Other. Pursuant to ASC Topic 350, we capitalize costs incurred during the application development stage of software developed for internal use, and expense costs incurred during the preliminary project and the post-implementation operation stages of development. The costs capitalized for each project are included in intangible assets in the consolidated financial statements.
For costs incurred related to the development of software to be sold, leased, or otherwise marketed, we apply the provisions of ASC Topic 985-20, Software - Costs of Software to be Sold, Leased or Marketed, which specifies that costs incurred internally in researching and developing a computer software product should be charged to expense until technological feasibility has been established for the product. Once technological feasibility is established, all software costs should be capitalized until the product is available for general release to customers.
We capitalized $17.0 million and $9.5 million in software development costs for ongoing initiatives during the fiscal years ended April 2, 2016 and March 28, 2015, respectively. At April 2, 2016 and March 28, 2015, we have a total of $54.9 million and $39.7 million of software costs capitalized, of which $14.4 million and $7.9 million are related to in process software development initiatives, respectively, and the remaining balance represents in-service assets that are being amortized over their useful lives. The costs capitalized for each project are included in intangible assets in the consolidated financial statements. In connection with these development activities, we capitalized interest of $0.2 million and $0.2 million in fiscal 2016 and 2015, respectively. We amortize capitalized costs when the products are released for sale. During fiscal 2016, $8.7 million of capitalized costs were placed into service, compared to $15.7 million of capitalized costs placed into service during fiscal 2015. Amortization of capitalized software development cost expense was $10.9 million, $3.2 million and $1.1 million for fiscal 2016, 2015 and 2014, respectively. Amortization expense in fiscal 2016 includes $6.0 million of impairment charges related to the discontinuance of certain capitalized software projects as a result of our global strategic review in the fourth quarter of fiscal 2016. These impairment charges are classified within costs of goods sold on our consolidated statements of (loss) income and relate to capitalized software projects included in our All Other segment.