CDW 2006 Annual Report Download - page 49

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39
Cash consideration ($180,340 paid at closing;
$4,741 paid in January 2007)
$ 185,081
Direct acquisition costs 993
Total purchase price $ 186,074
Current assets (including $3,400 of cash) $ 94,193
Property and equipment 14,023
Intangible assets 60,000
Goodwill 117,547
Total assets acquired 285,763
Current liabilities 73,371
Long-term liabilities 26,318
Total liabilities assumed 99,689
Net assets acquired $ 186,074
The following table presents details of purchased intangible assets (dollars in thousands):
Amount
Weighted-
Average Life
Customer relationships $ 49,000 12.3 years
Packaged technology 5,000 6.0 years
License agreement 3,000 12.0 years
Trade name 3,000 2.0 years
$ 60,000 11.3 years
The $117.5 million of goodwill was assigned to the Berbee operating segment. None of this
goodwill is expected to be deductible for tax purposes.
Pro Forma Results
The results of the Company include the results of Berbee from the date of acquisition. The
following unaudited pro forma financial results present the combined results of operations of the
Company and Berbee for the years ended December 31, 2006 and 2005 as if the acquisition had
occurred at January 1, 2005 (in thousands, except per share amounts).
2006 2005
Net sales $ 7,118,427 $ 6,600,251
Net income 271,605 275,102
Earnings per share:
Basic 3.44 3.39
Diluted 3.37 3.29
The unaudited pro forma financial results are not intended to represent or be indicative of the
Company’s consolidated results of operations that would have been reported had the acquisition
been completed as of the beginning of the periods presented and should not be taken as indicative
of the Company’s future consolidated results of operations.