Quarterly report pursuant to Section 13 or 15(d)

Business Acquisition Business Combination text block (Notes)

v2.4.1.9
Business Acquisition Business Combination text block (Notes)
 3 Months Ended
Mar. 31, 2015
Business Combinations [Abstract]  
Business Combination Disclosure [Text Block]
BUSINESS ACQUISITION
On May 30, 2014, the Company purchased 100% of the equity interest in prAna Living LLC (“prAna”) for $188,467,000, net of acquired cash of $4,946,000. PrAna contributed net sales of $37,094,000 and net income of $3,666,000, including amortization of acquired assets of $954,000, for the three months ended March 31, 2015.
Purchase price allocation
Acquired assets and liabilities were recorded at estimated fair value as of the acquisition date. The excess of the purchase price over the estimated fair value of identifiable net assets resulted in the recognition of goodwill of $54,156,000, all of which was assigned to the United States segment, and is attributable to future growth opportunities and any intangible assets that did not qualify for separate recognition. The goodwill is expected to be deductible for tax purposes.
The following table summarizes the fair value of the net assets acquired and liabilities assumed as of the acquisition date of May 30, 2014, including measurement period adjustments (in thousands):
 
 
 
Cash
 
$
4,946

Accounts receivable
 
10,021

Inventories
 
9,641

Other current assets
 
2,531

Property, plant and equipment
 
5,192

Acquired intangible assets
 
114,500

Other non-current assets
 
258

     Total assets acquired
 
147,089

 
 
 
Accounts payable
 
2,803

Other current liabilities
 
5,029

     Total liabilities assumed
 
7,832

 
 
 
Net identifiable assets acquired
 
139,257

Goodwill
 
54,156

Net assets acquired
 
$
193,413