XML 43 R29.htm IDEA: XBRL DOCUMENT v2.4.0.6
GENERAL (Tables)
12 Months Ended
Dec. 31, 2012
Business Acquisition [Line Items]  
Reconciliation of Redeemable Non-controlling Interest
    December 31,  
    2010     2011     2012  
                   
Beginning of the year   $ -     $ 5,662     $ 6,205  
Redeemable non-controlling interest     5,331       -       -  
Net income attributable to non-controlling interest     348       252       735  
Non-controlling interest share of contribution to equity in Caesarstone Canada Inc.     -       458       -  
Foreign currency translation adjustments     (17 )     (167 )     166  
                         
Redeemable non-controlling interest - end of the year   $ 5,662     $ 6,205     $ 7,106  
U.S. Quartz Products, Inc. [Member]
 
Business Acquisition [Line Items]  
Schedule of Estimated Fair Value of Assets Acquired and Liabilities Assumed
    Fair
value
    Expected
useful
life (years)
 
             
Current assets   $ 22,452          
Deferred taxes     2,604          
Property and equipment     1,794          
Long-term liabilities     185          
Intangible assets:                
Distribution relationships(1)     739       7.6  
Customer relationships(2)     2,352       7.6  
Distribution agreement(3)     14,376       7.6  
Backlog-customer relationships(4)     146       0.08  
Backlog-distribution relationships(5)     84       0.08  
Goodwill(6)     18,460       indefinite  
                 
Total assets acquired     63,192          
                 
Current liabilities     18,510          
Long-term liabilities     6,291          
Deferred taxes     5,374          
                 
Total liabilities assumed     30,175          
                 
Net assets acquired     33,017          
                 
Total purchase price   $ 33,017          

 

  (1) Distribution relationships-the fair value of the distribution relationships was measured using the Multi Period Excess Earnings Method approach (the "MPEEM approach"), which is a form of discounted cash flow analysis. The fair value of the distribution relationships is being amortized according to the revenue projections.

 

  (2) Customer relationships-the customer relationships asset fair value was estimated using the MPEEM approach. The fair value of the customer relationships is being amortized according to the revenue projections.

 

  (3) Distribution agreement-the fair value of the Distribution Agreement (the reacquired right under ASC 805) was measured using the MPEEM approach. The fair value of the distribution relationships is being amortized over 7.6 years.

 

  (4) Backlog-customer relationships-the fair value of the backlog attributed to end-customers was measured using the MPEEM approach. The fair value of the backlog was fully amortized over four weeks (0.08 years).

 

  (5) Backlog-distribution relationships-the fair value of the backlog attributed to distributor relationships was measured using the MPEEM approach. The fair value of the backlog was fully amortized over four weeks (0.08 years).

 

  (6) Goodwill represents the excess of the acquisition price over assets acquired and liabilities assumed. The goodwill is related to the strength of the businesses acquired in the quartz surfaces market within the United States. Goodwill is not amortized and is tested for impairment at least annually.
Schedule of Revenues and Earnings
    Period ended
December 31,
 
    2011  
       
Revenues   $ 46,843  
         
Net income   $ (511 )
Schedule of Unaudited Pro Forma Condensed Results of Operations
    December 31,     December 31,  
    2010     2011  
    Unaudited  
             
Revenues   $ 233,206     $ 271,874  
                 
Net income   $ 23,489     $ 25,222  
                 
Basic and diluted net earnings per share   $ 0.85     $ 0.91  
Caesarstone Southeast Asia Ltd. [Member]
 
Business Acquisition [Line Items]  
Schedule of Estimated Fair Value of Assets Acquired and Liabilities Assumed
    Fair
value
    Expected
useful
life (years)
 
             
Inventory   $ 50          
Fixed assets     26          
Customer relationships (1)     133       5.0  
Distribution agreement (2)     254       2.0  
Non-competition agreement (3)     62       3.0  
Goodwill     303       indefinite  
                 
Total assets acquired     828          
                 
Total liabilities assumed     -          
                 
Net assets acquired     828          
                 
Total purchase price   $ 828          

 

  (1) The fair value of the customer relationships was measured using the MPEEM approach. The fair value of the customer relationships is being amortized according to the revenue projections.

 

  (2) The fair value of the distribution agreement was measured using the MPEEM approach. The fair value of the distribution agreement is being amortized according to the remaining contractual term of the original distribution agreement.

 

  (3) The fair value of the non-competition agreement was measured using the incremental cash flow approach.
Canadian Quartz Holdings Inc. [Member]
 
Business Acquisition [Line Items]  
Schedule of Estimated Fair Value of Assets Acquired and Liabilities Assumed
    Fair value     Expected
useful
life (years)
 
             
Non-competition agreement(1)   $ 917       2.21  
Customer relationships(2)     3,989       5.21  
Goodwill(3)     425       indefinite  
                 
Net assets acquired   $ 5,331          

 

  (1) Non-competition agreement-the non-competition agreement asset fair value was estimated using an incremental cash flow analysis, which is a form of the income approach. The non-competition agreement is being amortized using the straight-line method over its useful life, which is estimated at 2.21 years.

 

  (2) Customer relationships-the customer relationships asset fair value was estimated using the MPEEM approach. The customer relationships is being amortized using a method that will reflect the consummation of such asset (i.e., a form of accelerated depreciation), over an estimated 5.21 years.

 

  (3) Goodwill represents the excess of the acquisition price over assets acquired and liabilities assumed. Goodwill is not amortized and is being tested for impairment at least annually.
Schedule of Revenues and Earnings
    Year ended
December 31,
 
    2010  
       
Revenues   $ 4,282  
Net income   $ 773  
Schedule of Unaudited Pro Forma Condensed Results of Operations
    December 31,  
    2010  
    Unaudited  
       
Revenues   $ 208,703  
Net income   $ 30,739  
Basic and diluted net earnings per share   $ 1.12  
White-Wood Distributors Ltd. [Member]
 
Business Acquisition [Line Items]  
Schedule of Estimated Fair Value of Assets Acquired and Liabilities Assumed
    Fair
value
    Expected
useful
life (years)
 
             
Inventory   $ 544          
Customer relationships(1)     807       4.7  
Goodwill(2)     754       indefinite  
                 
Total assets acquired     2,105          
                 
Total liabilities assumed     -          
                 
Net assets acquired     2,105          
                 
Total purchase price     2,105          

 

  (1) The fair value of the customer relationships was measured using the MPEEM approach. The fair value of the customer relationships is being amortized according to the revenue projections.

 

  (2) Goodwill represents the excess of the acquisition price over assets acquired and liabilities assumed. Goodwill is not amortized and will be tested for impairment at least annually.