Dave Forsey Chief Executive 19 July 2012 - Sports Direct International

15. Intangible assets
Cost
Goodwill
(£’000)
Trademarks
and licences
(£’000)
At 25 April 2010 126,208 30,640 80,536 237,384
Arising on business combinations 44 - - 44
Additions through business combinations - 7 - 7
Other additions - 1,498 - 1,498
Disposals (1,236) - - (1,236)
Exchange adjustment (4,283) (2,888) (2,197) (9,368)
At 24 April 2011 120,733 29,257 78,339 228,329
Arising on business combinations 10,495 - - 10,495
Additions through business combinations - 20,193 - 20,193
Other additions - 2,921 - 2,921
Disposals (1,679) (2,300) (3,979)
Exchange adjustment 5,084 (655) - 4,429
At 29 April 2012 136,312 50,037 76,039 262,388
Amortisation and impairment
At 25 April 2010 (9,917) (8,223) (2,300) (20,440)
Amortisation Charge - (2,750) - (2,750)
Impairment (202) - - (202)
Disposals 202 - - 202
Exchange adjustment - (89) - (89)
At 24 April 2011 (9,917) (11,062) (2,300) (23,279)
Amortisation Charge - (4,358) - (4,358)
Impairment (2,473) - - (2,473)
Disposals - - 2,300 2,300
Acquisitions (7,889) - (7,889)
Exchange adjustment (2,191) 652 - (1,539)
At 29 April 2012 (14,581) (22,657) - (37,238)
Net book amount
At 29 April 2012 121,731 27,380 76,039 225,150
At 24 April 2011 110,816 18,195 76,039 205,050
Amortisation is charged to selling, distribution and administrative expenses in the Consolidated Income Statement. In the prior year the
impairment charge was recognised in exceptional items in the Consolidated Income Statement.
The carrying value of goodwill and brands that are considered to have an indefinite life are allocated to cash-generating units as follows;
Retail 23,395 8,500
Brands 98,336 67,539
Brands
(£’000)
Goodwill
(£’000)
Total
(£’000)
Brands
(£’000)
121,731 76,039
The Group tests the carrying amount of goodwill and assets with an indefinite life annually for impairment or more frequently if there are
indications that their carrying value might be impaired. The carrying amounts of other intangible assets are reviewed for impairment if there is an
indication of impairment.
Impairment is calculated by comparing the carrying amounts to the value in use derived from discounted cash flow projections for the cash
generating units (CGU) to which the intangible assets are allocated.
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