XML 59 R19.htm IDEA: XBRL DOCUMENT
v3.20.2

Goodwill and Intangible Assets | 12 Months Ended
--- | ---
Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The following is a summary of changes in the carrying value of goodwill (in thousands):
Balance at June 30, 2017 |  | $ | 10,996 |
Final Purchase Price Allocation Adjustment (West Coast Coffee) |  | (167 | )
Additions (Boyd Coffee) |  | 25,395 |
Balance at June 30, 2018 |  | $ | 36,224 |
Additions |  | — |
Balance at June 30, 2019 |  | 36,224 |
Additions |  | — |
Impairment |  | (36,224 | )
Balance at June 30, 2020 |  | $ | — |
The carrying value of goodwill was fully impaired and written down to zero at June 30, 2020. There was no impairment of goodwill recorded during the years ended June 30, 2019 and 2018. The Company tests goodwill and indefinite-lived intangible assets for impairment annually, as of January 31, or when events or changes in circumstances would indicate that more likely than not the fair values may be below the carrying amounts of the assets. Additionally, because of the COVID-19 pandemic during the second half of the Company's fiscal year ended June 30, 2020, and the resulting deterioration in the business environment and the general economic outlook, the fair value of these assets were negatively impacted. As a result of the test for impairment, the Company recorded $36.2 million of impairment to goodwill during the year ended June 30, 2020. The following is a summary of the Company’s amortized and unamortized intangible assets other than goodwill:
|  |  |  | As of June 30,
|  | Weighted Average Amortization Period as of June 30, 2020 |  | 2020 |  | 2019
(In thousands) |  |  | Gross Carrying Amount |  | Accumulated Amortization |  | Impairment |  | Net |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net
Amortized intangible assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Customer relationships |  | 6.7 |  | $ | 33,003 |  |  | $ | (17,492 | ) |  | $ | — |  |  | $ | 15,511 |  |  | $ | 33,003 |  |  | $ | (15,291 | ) |  | $ | 17,712 |
Non-compete agreements |  | 1.5 |  | 220 |  |  | (161 | ) |  | — |  |  | 59 |  |  | 220 |  |  | (122 | ) |  | 98 |
Recipes |  | 3.3 |  | 930 |  |  | (487 | ) |  | — |  |  | 443 |  |  | 930 |  |  | (354 | ) |  | 576 |
Trade name/brand name |  | 3.4 |  | 510 |  |  | (383 | ) |  | — |  |  | 127 |  |  | 510 |  |  | (346 | ) |  | 164 |
Total amortized intangible assets |  |  |  | $ | 34,663 |  |  | $ | (18,523 | ) |  | $ | — |  |  | $ | 16,140 |  |  | $ | 34,663 |  |  | $ | (16,113 | ) |  | $ | 18,550 |
Unamortized intangible assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Trademarks, trade names and brand name with indefinite lives |  |  |  | $ | 10,328 |  |  | $ | — |  |  | $ | (5,806 | ) |  | $ | 4,522 |  |  | $ | 10,328 |  |  | $ | — |  |  | $ | 10,328 |
Total unamortized intangible assets |  |  |  | $ | 10,328 |  |  | $ | — |  |  | $ | (5,806 | ) |  | $ | 4,522 |  |  | $ | 10,328 |  |  | $ | — |  |  | $ | 10,328 |
Total intangible assets |  |  |  | $ | 44,991 |  |  | $ | (18,523 | ) |  | $ | (5,806 | ) |  | $ | 20,662 |  |  | $ | 44,991 |  |  | $ | (16,113 | ) |  | $ | 28,878 |
As a result of the test for impairment, the Company recorded $5.8 million and $3.5 million, respectively, of impairment to indefinite-lived intangibles during the year ended June 30, 2020 and 2018. There were no indefinite-lived intangible asset impairment charges recorded in the fiscal year ended June 30, 2019. The Company also assessed the recoverability of certain finite-lived intangible assets. No impairment was recorded for the finite-lived intangibles for the years ended June 30, 2020 and 2019. In fiscal year ended June 30, 2018, the Company recorded an impairment charge related to finite-lived intangibles of $0.3 million. Amortization expense for the years ended June 30, 2020, 2019, and 2018 were $2.4 million, $2.6 million, and $2.4 million, respectively. At June 30, 2020, future annual amortization of finite-lived intangible assets for the years 2021 through 2025 and thereafter is estimated to be (in thousands):
For the fiscal year ending: |  |
June 30, 2021 |  | $ | 2,412 |
June 30, 2022 |  | 2,388 |
June 30, 2023 |  | 2,370 |
June 30, 2024 |  | 2,260 |
June 30, 2025 |  | 2,200 |
Thereafter |  | 4,510 |
Total |  | $ | 16,140 |

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