2K Sports 2008 Annual Report Download - page 89

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The following table sets forth the components of the intangible assets subject to amortization:
October 31, 2008 October 31, 2007
Estimated
Useful Gross Gross
Lives Carrying Accumulated Net Book Carrying Accumulated Net Book
(Years) Amount Amortization Value Amount Amortization Value
Trademarks 7-10 $13,777 $(10,817) $ 2,960 $15,315 $ (9,998) $ 5,317
Customer lists and relationships 5-10 4,674 (4,107) 567 4,673 (3,831) 842
Intellectual property 2-6 26,956 (6,399) 20,557 26,859 (5,323) 21,536
Non-compete 5-10 6,186 (4,690) 1,496 5,755 (3,941) 1,814
Technology 3 4,308 (3,765) 543 4,313 (2,558) 1,755
$55,901 $(29,778) $26,123 $56,915 $(25,651) $31,264
The change in the gross carrying amount of intangibles for the years ended October 31, 2008 and 2007 was
as follows:
October 31,
2008 2007
Beginning balance $56,915 $110,764
Recognized in connection with acquisitions 1,300 —
Other purchases of intangible assets —13
Impairment charges (2,498) (7,000)
Write-off of fully amortized assets —(46,649)
Other 184 (213)
Ending balance $55,901 $ 56,915
Amortization of intangible assets is included in our statement of operations as follows:
Years ended October 31,
2008 2007 2006
Cost of goods sold $2,350 $3,462 $ 9,372
Depreciation and amortization 4,229 3,334 4,628
Total amortization of intangible assets $6,579 $6,796 $14,000
Estimated future amortization of intangible assets that will be recorded in cost of goods sold and operating
expenses for the years ending October 31 is as follows:
2009 $ 7,042
2010 6,342
2011 6,912
2012 3,181
2013 2,542
Thereafter 104
Total $26,123
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