XML 27 R15.htm IDEA: XBRL DOCUMENT
v3.20.2

Goodwill and Intangible Assets | 3 Months Ended
--- | ---
Sep. 27, 2020
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill The following table summarizes changes in goodwill during the three months ended September 27, 2020:
(in millions of U.S. Dollars) | Wolfspeed | LED Products | Total
Balance at June 28, 2020 | $349.7 |  | $180.3 |  | $530.0 |
Impairment | — |  | (105.7) |  | (105.7) |
Balance at September 27, 2020 | $349.7 |  | $74.6 |  | $424.3 |
The Company reviews goodwill for impairment whenever events or circumstances indicate potential impairment. In the first quarter of fiscal 2021, the Company determined it would more likely than not sell all or a portion of the assets comprising the LED Products segment below carrying value. As a result of this triggering event, the Company recorded an impairment to goodwill of $105.7 million as of September 27, 2020. As of September 27, 2020, the potential sale had not met the held-for-sale criteria. On October 18, 2020, the Company entered into a definitive agreement with SMART related to the LED Business Divestiture. See Note 16, "Subsequent Events," for additional information on the transaction. Intangible Assets, net The following table presents the components of intangible assets, net:
| September 27, 2020 |  | June 28, 2020
(in millions of U.S. Dollars) | Gross |  | Accumulated Amortization |  | Net |  | Gross |  | Accumulated Amortization |  | Net
Customer relationships | $147.8 |  |  | ($71.5) |  |  | $76.3 |  |  | $147.8 |  |  | ($70.0) |  |  | $77.8 |
Developed technology | 74.9 |  |  | (31.1) |  |  | 43.8 |  |  | 74.9 |  |  | (29.7) |  |  | 45.2 |
Non-compete agreements | 12.2 |  |  | (7.8) |  |  | 4.4 |  |  | 12.2 |  |  | (7.1) |  |  | 5.1 |
Trade names | 0.5 |  |  | (0.5) |  |  | — |  |  | 0.5 |  |  | (0.5) |  |  | — |
Acquisition related intangible assets | 235.4 |  |  | (110.9) |  |  | 124.5 |  |  | 235.4 |  |  | (107.3) |  |  | 128.1 |
Patent and licensing rights | 114.8 |  |  | (63.9) |  |  | 50.9 |  |  | 114.6 |  |  | (63.1) |  |  | 51.5 |
Total intangible assets | $350.2 |  |  | ($174.8) |  |  | $175.4 |  |  | $350.0 |  |  | ($170.4) |  |  | $179.6 |
Total amortization of acquisition-related intangibles assets was $3.6 million and $3.6 million for the three months ended September 27, 2020 and September 29, 2019, respectively. Total amortization of patents and licensing rights was $2.3 million and $2.2 million for the three months ended September 27, 2020 and September 29, 2019. Total future amortization expense of intangible assets is estimated to be as follows:
(in millions of U.S. Dollars) Fiscal Year Ending | Acquisition Related Intangibles |  | Patents |  | Total
June 27, 2021 | $10.9 |  |  | $6.6 |  |  | $17.5 |
June 26, 2022 | 13.5 |  |  | 7.9 |  |  | 21.4 |
June 25, 2023 | 11.0 |  |  | 6.9 |  |  | 17.9 |
June 30, 2024 | 10.4 |  |  | 6.0 |  |  | 16.4 |
June 29, 2025 | 10.4 |  |  | 4.8 |  |  | 15.2 |
Thereafter | 68.3 |  |  | 18.7 |  |  | 87.0 |
Total future amortization expense | $124.5 |  |  | $50.9 |  |  | $175.4 |

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 goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -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