Intangible Assets And Goodwill

6 Months Ended

Nov. 28, 2020

Intangible Assets And Goodwill [Abstract]

4. Intangible Assets and Goodwill

The following table sets forth the Company’s intangible assets, including acquired intangible assets and internal-use software (amounts in thousands):


	As of November 28, 2020						As of May 30, 2020
			Accumulated						Accumulated
	Gross		Amortization		Net		Gross		Amortization		Net
Customer contracts and relationships (3-8 years)	$	23,914	$	(8,435)	$	15,479	$	23,779	$	(6,707)	$	17,072
Tradenames (3-10 years)		5,104		(3,420)		1,684		4,960		(2,735)		2,225
Backlog (17 months)		1,210		(1,113)		97		1,210		(694)		516
Consultant list (3 years)		838		(838)		-		776		(718)		58
Non-compete agreements (3 years)		957		(957)		-		888		(821)		67
Computer software (2-3.5 years)		3,988		(186)		3,802		185		(46)		139
Total	$	36,011	$	(14,949)	$	21,062	$	31,798	$	(11,721)	$	20,077

The Company recorded amortization expense of $1.4 million and $1.5 million for the three months ended November 28, 2020 and November 23, 2019, respectively, and $2.9 million and $2.6 million for the six months ended November 28, 2020 and November 23, 2019, respectively. The following table summarizes future estimated amortization expense related to intangible assets (in thousands):


2021 (remaining 6 months)	$	2,313
2022		4,456
2023		4,247
2024		4,124
2025		3,121
2026		2,327
Thereafter		474
Total	$	21,062

The estimates of future intangible asset amortization expense do not incorporate the potential impact of future currency fluctuations when translating the financial results of the Company’s international operations that have amortizable intangible assets into U.S. dollars.

As further described in Note 12 – Segment Information, the Company changed its segment reporting effective in the second quarter of fiscal 2021, and reallocated goodwill to the new reporting units on the relative fair value basis. Concurrent with the segment change, the Company completed a goodwill impairment assessment, and concluded that no goodwill impairment existed immediately before and after the change in segment reporting.

The following table summarizes the activity in the Company’s goodwill balance. The balance as of May 30, 2020 was recast to reflect the impact of the preceding segment change. Amounts are in thousands.


	RGP		Other Segments		Total Company
Balance as of May 30, 2020	$	208,958	$	5,109	$	214,067
Impact of foreign currency exchange rate changes		-		2,179		2,179
Balance as of November 28, 2020	$	208,958	$	7,288	$	216,246