Intangible Assets and Goodwill

12 Months Ended

Jun. 26, 2011

Note 7 – Intangible Assets and Goodwill

Intangible Assets

The following table reflects the components of intangible assets (in thousands):


	June 26, 2011			June 27, 2010
Customer relationships	$	52,620		$	52,620
Developed technology		51,860			51,860
Patent and license rights		83,884			71,762

	$	188,364		$	176,242
Accumulated amortization		(85,504	)		(70,133	)

Intangible assets, net	$	102,860		$	106,109

The Company invested $12.8 million, $9.3 million and $8.7 million for the years ended June 26, 2011, June 27, 2010 and June 28, 2009, respectively for patent and license rights.

Total amortization of intangible assets used in continuing operations totaled $15.5 million, $16.3 million and $19.9 million for the years ended June 26, 2011, June 27, 2010 and June 28, 2009, respectively. For the fiscal years ended June 26, 2011, June 27, 2010 and June 28, 2009, the Company recorded $0.5 million, $0.2 million and $0.5 million, respectively, in impairment charges related to its patent portfolio.

Future amortization expense of intangible assets is estimated to be as follows (in thousands):


Fiscal Year Ending
June 24, 2012	$	14,026
June 30, 2013		13,084
June 29, 2014		10,931
June 28, 2015		7,868
June 26, 2016		7,686
Thereafter		49,265

	$	102,860

Goodwill

Goodwill increased from approximately $313.0 million at June 27, 2010 to approximately $326.2 million at June 26, 2011 due to the contingent consideration payment related to the acquisition of LLF. There were no impairments of goodwill recorded for the fiscal years ended June 26, 2011, June 27, 2010 and June 28, 2009.

- 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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