XML 87 R14.htm IDEA: XBRL DOCUMENT
v2.4.0.6

Intangible Assets and Goodwill | 12 Months Ended
--- | ---
Jun. 24, 2012
Goodwill and Intangible Assets Disclosure [Abstract] |
Intangible Assets and Goodwill | Intangible Assets and Goodwill Intangible Assets The following table reflects the components of intangible assets (in thousands):
| June 24, 2012 |  | June 26, 2011
Customer relationships | $ | 137,440 |  |  | $ | 52,620 |
Developed technology | 147,710 |  |  | 51,410 |
Patent and license rights | 97,812 |  |  | 83,440 |
Trade names | 83,400 |  |  | 450 |
In-process research and development | 15,050 |  |  | — |
Non-compete agreements | 10,244 |  |  | 444 |
Intangible assets, gross | $ | 491,656 |  |  | $ | 188,364 |
Accumulated amortization | (115,581 | ) |  | (85,504 | )
Intangible assets, net | $ | 376,075 |  |  | $ | 102,860 |
Indefinite-lived trade names included in the table above were approximately $82.9 million. Total amortization of intangible assets was $32.1 million, $15.5 million and $16.3 million for the years ended June 24, 2012, June 26, 2011 and June 27, 2010, respectively. During the fourth quarter of fiscal 2012, the Company started amortizing certain IPR&D assets (acquired in the Ruud Lighting acquisition) that were completed during the quarter. The Company invested $17.2 million, $12.8 million and $9.3 million for the years ended June 24, 2012, June 26, 2011 and June 27, 2010, respectively for patent and license rights. For the fiscal years ended June 24, 2012, June 26, 2011 and June 27, 2010, the Company recorded $0.8 million, $0.5 million and $0.2 million, respectively, in impairment charges related to its patent portfolio. Future amortization expense of the Company's definite-lived intangible assets is estimated to be as follows (in thousands):
Fiscal Year Ending |
June 30, 2013 | $ | 37,032 |
June 29, 2014 | 34,908 |
June 28, 2015 | 31,937 |
June 26, 2016 | 31,638 |
June 25, 2017 | 29,658 |
Thereafter | 128,022 |
| $ | 293,195 |
Goodwill In fiscal 2012, the Company performed a qualitative test on the Company's consolidated goodwill. This qualitative assessment did not conclude that it was more likely than not that consolidated goodwill was impaired. Thus, a two step goodwill impairment test was not indicated for fiscal 2012. There were no impairments of consolidated goodwill for the fiscal years ended June 26, 2011 and June 27, 2010. During the fourth quarter of fiscal 2012, the Company completed modification of its internal management and reporting structure along three operating segments. In reviewing these operating segments under ASC 350 for goodwill reporting purposes, the Company determined that the Company's operating segments are consistent with its reporting units. Thus, the Company's reporting units for goodwill impairment testing include:
• | LED Products
• | Lighting Products
• | Power and RF Products
As a result of the reorganization of the Company into three reporting units, the Company was required to assess goodwill impairment at the reporting unit level. The Company performed the quantitative goodwill impairment test on each reporting unit. For step one of the impairment test, t he Company derived each reporting unit's fair value through a combination of the market approach (a guideline transaction method) and the income approach (a discounted cash flow analysis). The Company utilized a discount rate from the capital asset pricing model for the discounted cash flow analysis. Once the reporting unit fair values were calculated, the Company reconciled the reporting units' relative fair values back to the Company's market capitalization as of the testing date. T he Company then compared the carrying value of each reporting unit, inclusive of its assigned goodwill, to its fair value. The Company determined that the fair value of each reporting unit exceeded its carrying value, and therefore, there was no goodwill impairment as of June 24, 2012. As a result, step two of the goodwill impairment test was not necessary. Goodwill activity by reporting unit for the years ended June 24, 2012 and June 26, 2011 is as follows (in thousands):
| LED Products |  | Lighting Products |  | Power and RF Products |  | Consolidated Total
June 26, 2011 | $ | 245,857 |  |  | $ | 47,614 |  |  | $ | 32,707 |  |  | $ | 326,178 |
Addition due to Ruud Lighting acquisition | — |  |  | 290,167 |  |  | — |  |  | 290,167 |
June 24, 2012 | $ | 245,857 |  |  | $ | 337,781 |  |  | $ | 32,707 |  |  | $ | 616,345 |
Consolidated goodwill increased from approximately $326.2 million at June 26, 2011 to approximately $616.3 million at June 24, 2012 due to the acquisition of Ruud Lighting.

X
- 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 -SubTopic 30 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=7658586&loc=d3e16373-109275 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=7658586&loc=d3e16265-109275 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=7658586&loc=d3e16323-109275 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 142 -Paragraph 42, 43, 44, 45, 46, 47 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=14024403&loc=d3e13854-109267 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=14024403&loc=d3e13816-109267 + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration