Avon 2005 Annual Report Download - page 49

Download and view the complete annual report

Please find page 49 of the 2005 Avon annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 57

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57

Goodwill
Latin Asia
Europe America Pacific Total
Balance at December 31, 2004 $34.4 $ .9 $41.2 $ 76.5
Goodwill acquired during the year – 94.8 – 94.8
Impairment losses – – (.4) (.4)
Foreign exchange (1.1) – 2.2 1.1
Balance at December 31, 2005 $33.3 $95.7 $43.0 $172.0
The impairment losses relate to the write-off of goodwill associated with the closure of unprofitable operations in Asia Pacific as a result of the
implementation of certain restructuring initiatives (see Note 13, Restructuring Initiatives).
Intangible Assets
2005 2004
Carrying Accumulated Carrying Accumulated
Amount Amortization Amount Amortization
Amortized Intangible Assets
Customer relationships $40.8 $(3.3) $ 5.7 $ –
Licensing agreements 32.0 (1.6) – –
Noncompete agreements 9.2 (3.4) 5.2 (2.7)
Total $82.0 $(8.3) $10.9 $(2.7)
Aggregate Amortization Expense:
2005 $ 5.4
2004 3.4
2003 .7
Estimated Amortization Expense:
2006 $17.7
2007 15.2
2008 14.9
2009 13.9
2010 5.3
2005฀ANNUAL฀REPORT฀฀69