LOGITECH INTERNATIONAL SA - Shareholder.com
LOGITECH INTERNATIONAL SA - Shareholder.com
LOGITECH INTERNATIONAL SA - Shareholder.com
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Table of Contents<br />
<strong>LOGITECH</strong> <strong>INTERNATIONAL</strong> S.A.<br />
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)<br />
The Company’s acquired other intangible assets subject to amortization were as follows (in thousands):<br />
For fiscal years 2007, 2006 and 2005, amortization expense for other intangible assets was $4.9 million, $4.6 million and $6.3 million.<br />
The Company expects that annual amortization expense for the fiscal years ending 2008, 2009, 2010, 2011 and 2012 will be $5.0 million,<br />
$4.0 million, $3.0 million, $3.0 million and $2.0 million; and $1.9 million in total thereafter.<br />
Note 10 — Financing Arrangements<br />
Gross Carrying<br />
Amount<br />
March 31, 2007 March 31, 2006<br />
Accumulated Net Carrying Gross Carrying Accumulated<br />
Amortization<br />
Amount<br />
Amount<br />
Amortization<br />
Net Carrying<br />
Trademark/tradename $ 19,943 $ (14,902 ) $ 5,041 $ 16,897 $ (13,497 ) $ 3,400<br />
Technology 34,423 (21,248 ) 13,175 25,423 (18,028 ) 7,395<br />
Customer contracts 2,120 (1,416 ) 704 600 (220 ) 380<br />
$ 56,486 $ (37,566 ) $ 18,920 $ 42,920 $ (31,745 ) $ 11,175<br />
Short-term Credit Facilities<br />
The Company had several un<strong>com</strong>mitted, unsecured bank lines of credit aggregating $126.2 million at March 31, 2007. There are no<br />
financial covenants under these lines of credit with which the Company must <strong>com</strong>ply. The Company had letters of credit and guarantees of<br />
$2.3 million and zero at March 31, 2007 and March 31, 2006, which reduce the amounts available under the lines of credit. Borrowings<br />
outstanding were $11.9 million and $14.1 million at March 31, 2007 and 2006. The borrowings under these agreements were denominated in<br />
Japanese yen at a weighted average annual interest rate of 1.7% at March 31, 2007 and 1.3% at March 31, 2006 and were due on demand.<br />
Long-term Debt<br />
The Company had CHF 170.0 million ($95.6 million based on exchange rates at date of issuance) aggregate principal amount of 1%<br />
convertible bonds which were called for early redemption in accordance with their terms. As of November 11, 2005, all outstanding bonds had<br />
been presented for conversion into 10,897,386 Logitech shares at the conversion price of CHF 15.60 per share ($11.86 based on exchange rates<br />
at November 11, 2005). The conversion was satisfied through delivery of treasury shares.<br />
Note 11 — <strong>Shareholder</strong>s’ Equity<br />
Exchange of Nasdaq-Listed American Depositary Shares<br />
In September 2006, the Company announced its intent to exchange its Nasdaq-listed ADSs for Logitech shares and continue its Nasdaq<br />
listing with shares in lieu of ADSs, so that the same Logitech shares trade on the Nasdaq Global Select Market as well as on the SWX Swiss<br />
Exchange. The exchange took effect on October 23, 2006. On the effective date, the Logitech ADS program was terminated and one ADS was<br />
exchanged on a mandatory basis for one share. Since the exchange of the Nasdaq-listed ADSs for Logitech shares was a one-for-one exchange,<br />
there was no impact on financial statement or per share amounts.<br />
Stock Split<br />
In June 2006, the Company’s shareholders approved a two-for-one split of Logitech’s shares, which took effect on July 14, 2006. In June<br />
2005, the Company’s shareholders also approved a two-for-one split of Logitech’s shares, which took effect on June 30, 2005. All references to<br />
share and per-share data for all periods presented herein have been adjusted to give effect to these stock splits.<br />
F-22<br />
Amount