XML 33 R19.htm IDEA: XBRL DOCUMENT
v3.19.1

Goodwill & Other Intangible Assets | 12 Months Ended
--- | ---
Feb. 22, 2019
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill & Other Intangible Assets | GOODWILL & OTHER INTANGIBLE ASSETS A summary of the changes in goodwill during the years ended February 22, 2019 and February 23, 2018, by reportable segment, is as follows:
Goodwill | Americas | EMEA | Other | Total
Balance as of February 24, 2017 | $ | 88.2 |  |  | $ | — |  |  | $ | 18.5 |  |  | $ | 106.7 |  |
Acquisitions (1) | 31.2 |  |  | — |  |  | — |  |  | 31.2 |  |
Currency translation adjustments | 0.3 |  |  | — |  |  | — |  |  | 0.3 |  |
Goodwill | 121.4 |  |  | 265.0 |  |  | 116.5 |  |  | 502.9 |  |
Accumulated impairment losses | (1.7 | ) |  | (265.0 | ) |  | (98.0 | ) |  | (364.7 | ) |
Balance as of February 23, 2018 | $ | 119.7 |  |  | $ | — |  |  | $ | 18.5 |  |  | $ | 138.2 |  |
Acquisitions (1) (2) | 84.2 |  |  | 18.8 |  |  | — |  |  | 103.0 |  |
Currency translation adjustments | (0.3 | ) |  | (0.1 | ) |  | — |  |  | (0.4 | ) |
Goodwill | 205.3 |  |  | 283.7 |  |  | 116.5 |  |  | 605.5 |  |
Accumulated impairment losses | (1.7 | ) |  | (265.0 | ) |  | (98.0 | ) |  | (364.7 | ) |
Balance as of February 22, 2019 | $ | 203.6 |  |  | $ | 18.7 |  |  | $ | 18.5 |  |  | $ | 240.8 |  |
________________________
(1) | In 2018, we acquired AMQ Solutions and certain assets of Tricom Vision Limited resulting in a goodwill addition in the Americas segment. The purchase accounting was finalized in 2019. See Note 20 for additional information.
(2) | In 2019, we acquired Smith System Manufacturing Company, resulting in a goodwill addition in the Americas segment. We also acquired Orangebox Group Limited, resulting in goodwill additions in the Americas and EMEA segments. See Note 20 for additional information.
We compare the fair value of each reporting unit to its carrying value. If the fair value of the reporting unit exceeds the carrying value, goodwill is not impaired, and no further testing is required. If the fair value of the reporting unit is less than the carrying value, the difference is recorded as an impairment loss. We estimated the fair value of our reporting units using the income approach, which calculates the fair value of each reporting unit based on the present value of its estimated future cash flows. Cash flow projections are based on management's estimates of revenue growth rates and operating margins, taking into consideration industry and market conditions. The discount rates used are based on the weighted-average cost of capital adjusted for the relevant risk associated with business-specific characteristics and the uncertainty related to the reporting units' ability to execute on the projected cash flows. The estimation of the fair value of our reporting units represents a Level 3 measurement. Based on the results of the annual impairment tests, we concluded that no goodwill impairment existed as of February 22, 2019 or February 23, 2018. We will continue to evaluate goodwill, on an annual basis in Q4, and whenever events or changes in circumstances, such as significant adverse changes in business climate or operating results, changes in management's business strategy or significant declines in our stock price, indicate that there may be a potential indicator of impairment. As of February 22, 2019 and February 23, 2018, our other intangible assets and related accumulated amortization consisted of the following:
Other Intangible Assets | February 22, 2019 | February 23, 2018
Weighted Average Useful Life (Years) | Gross | Accumulated Amortization | Net | Gross | Accumulated Amortization | Net
Intangible assets subject to amortization: |  |  |  |  |  |  |  |  |  |  |  |  |  |
Dealer relationships (1) (2) | 11.0 |  |  | $ | 57.0 |  |  | $ | 4.1 |  |  | $ | 52.9 |  |  | $ | 25.5 |  |  | $ | 0.4 |  |  | $ | 25.1 |  |
Trademarks (1) (2) | 9.9 |  |  | 35.8 |  |  | 11.0 |  |  | 24.8 |  |  | 11.2 |  |  | 9.9 |  |  | 1.3 |  |
Proprietary technology | 9.8 |  |  | 26.8 |  |  | 23.8 |  |  | 3.0 |  |  | 26.8 |  |  | 23.4 |  |  | 3.4 |  |
Know-how/designs (2) | 9.0 |  |  | 21.0 |  |  | 1.3 |  |  | 19.7 |  |  | — |  |  | — |  |  | — |  |
Non-compete agreements | 6.2 |  |  | 1.2 |  |  | 1.2 |  |  | — |  |  | 1.2 |  |  | 1.2 |  |  | — |  |
Other (1) (2) | 4.7 |  |  | 20.5 |  |  | 14.4 |  |  | 6.1 |  |  | 12.7 |  |  | 9.7 |  |  | 3.0 |  |
|  |  | 162.3 |  |  | 55.8 |  |  | 106.5 |  |  | 77.4 |  |  | 44.6 |  |  | 32.8 |  |
Intangible assets not subject to amortization: |  |  |  |  |  |  |  |  |  |  |  |  |  |
Trademarks and other | n/a |  |  | 12.8 |  |  | — |  |  | 12.8 |  |  | 12.8 |  |  | — |  |  | 12.8 |  |
|  |  | $ | 175.1 |  |  | $ | 55.8 |  |  | $ | 119.3 |  |  | $ | 90.2 |  |  | $ | 44.6 |  |  | $ | 45.6 |  |
________________________
(1) | In 2018, we acquired AMQ Solutions and certain assets of Tricom Vision Limited resulting in additional intangible assets in the Americas segment. See Note 20 for additional information.
(2) | In 2019, we acquired Smith System Manufacturing Company, resulting in additional intangible assets in the Americas segment. We also acquired Orangebox Group Limited resulting in additional intangible assets in the Americas and EMEA segments. See Note 20 for additional information.
In 2019 and 2018, no intangible asset impairment charges were recorded. We recorded amortization expense on intangible assets subject to amortization of $12.3 in 2019, $1.3 in 2018 and $1.0 for 2017. Based on the current amount of intangible assets subject to amortization, the estimated amortization expense for each of the following five years is as follows:
Fiscal Year Ending in February | Amount
2020 | 12.4 |
2021 | 11.9 |
2022 | 11.7 |
2023 | 11.6 |
2024 | 11.1 |
| $ | 58.7 |
Future events, such as acquisitions, dispositions or impairments, may cause these amounts to vary.

X
- References No definition available. + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI http://asc.fasb.org/topic&trid=2144416 + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration