Quarterly report pursuant to Section 13 or 15(d)

Other Intangible Assets

v3.20.2
Other Intangible Assets
9 Months Ended
Jun. 27, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Other Intangible Assets Other Intangible Assets
The following table summarizes the components of gross and net acquired intangible assets:
Gross Accumulated
Amortization
Accumulated
Impairment
Net
Carrying
Value
  (in millions)
June 27, 2020
Marketing-related intangible assets – amortizable $ 20.6    $ (17.3)   $ —    $ 3.3   
Marketing-related intangible assets – nonamortizable 70.6    —    (26.0)   44.6   
Total 91.2    (17.3)   (26.0)   47.9   
Customer-related intangible assets – amortizable 140.3    (61.4)   (2.5)   76.3   
Other acquired intangible assets – amortizable 26.0    (17.8)   —    8.2   
Other acquired intangible assets – nonamortizable 7.1    —    (1.2)   5.9   
Total 33.0    (17.8)   (1.2)   14.1   
Total other intangible assets $ 264.6    $ (96.5)   $ (29.7)   $ 138.3   
  Gross Accumulated
Amortization
Accumulated
Impairment
Net
Carrying
Value
  (in millions)
June 29, 2019
Marketing-related intangible assets – amortizable $ 18.6    $ (15.7)   $ —    $ 2.9   
Marketing-related intangible assets – nonamortizable 70.6    —    (26.0)   44.6   
Total 89.2    (15.7)   (26.0)   47.5   
Customer-related intangible assets – amortizable 128.3    (50.0)   (2.5)   75.8   
Other acquired intangible assets – amortizable 26.0    (15.9)   —    10.1   
Other acquired intangible assets – nonamortizable 7.2    —    (1.2)   6.0   
Total 33.2    (15.9)   (1.2)   16.1   
Total other intangible assets $ 250.7    $ (81.6)   $ (29.7)   $ 139.4   
  Gross Accumulated
Amortization
Accumulated
Impairment
Net
Carrying
Value
  (in millions)
September 28, 2019
Marketing-related intangible assets – amortizable $ 19.7    $ (16.3)   $ —    $ 3.4   
Marketing-related intangible assets – nonamortizable 70.6    —    (26.0)   44.6   
Total 90.3    (16.3)   (26.0)   48.0   
Customer-related intangible assets – amortizable 138.4    (53.3)   (2.5)   82.6   
Other acquired intangible assets – amortizable 26.0    (16.4)   —    9.6   
Other acquired intangible assets – nonamortizable 7.1    —    (1.2)   5.9   
Total 33.1    (16.4)   (1.2)   15.5   
Total other intangible assets $ 261.8    $ (86.0)   $ (29.7)   $ 146.1   
Other acquired intangible assets include contract-based and technology-based intangible assets.
As part of its acquisition of C&S Products in the third quarter of fiscal 2019, the Company acquired approximately $0.9 million of amortizable marketing-related intangible assets and approximately $1.9 million of customer-related intangible assets.
The Company evaluates long-lived assets, including amortizable and indefinite-lived intangible assets, for impairment whenever events or changes in circumstances indicate the carrying value may not be recoverable. The Company evaluates indefinite-lived intangible assets on an annual basis. Factors indicating the carrying value of the Company’s amortizable intangible assets may not be recoverable were not present in the three or nine months ended June 27, 2020, and accordingly, no impairment testing was performed on these assets. As a result of one of our retail customers exiting the live fish business, factors indicating the carrying value of certain amortizable intangible assets may not be recoverable were present during the quarter ended March 30, 2019. The Company performed impairment testing on these assets, found the carrying value was not recoverable and accordingly, recorded an impairment charge in its Pet segment of approximately $2.5 million as part of selling, general and administrative expenses in the condensed consolidated statements of operations for the nine-month period ended June 29, 2019.
The Company amortizes its acquired intangible assets with definite lives over periods ranging from 3 years to 25 years; over weighted average remaining lives of 4 years for marketing-related intangibles, 9 years for customer-related intangibles and 10 years for other acquired intangibles. Amortization expense for intangibles subject to amortization was approximately $3.4 million and $3.4 million for the three months ended June 27, 2020 and June 29, 2019, respectively, and $10.6 million and $10.3 million for the nine months ended June 27, 2020 and June 29, 2019, respectively, and is classified within selling, general and administrative expenses in the condensed consolidated statements of operations. Estimated annual amortization expense related to acquired intangible assets in each of the succeeding five years is estimated to be approximately $12 million per year from fiscal 2020 through fiscal 2024 and thereafter.
.