Classmates.com 2004 Annual Report Download - page 90

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In connection with the Merger, the Company incurred the following acquisition costs, which were capitalized and included as part of the
purchase price (in thousands):
The following table summarizes the net assets, intangible assets and goodwill acquired in connection with the Merger (in thousands):
The weighted average amortizable life of acquired intangible assets is 3.9 years. Goodwill was not deductible for tax purposes.
The following summarized unaudited pro forma financial information for the year ended June 30, 2002 assumes that the Merger had
occurred at the beginning of the period presented (in thousands, except per share amounts).
RocketCash Corporation
In September 2000, the Company acquired RocketCash Corporation ("RocketCash"), an online commerce company, in a stock-for-stock
transaction. In August 2001, the Company completed the sale of substantially all of the remaining assets related to the RocketCash acquisition.
The transaction resulted in net cash proceeds to the Company of approximately $1.2 million and a gain on sale of approximately $1.0 million.
F-21
Employee termination benefits
$
3,844
Investment banking, accounting and legal fees
2,301
Early contract termination fees
1,833
Total
$
7,978
Description
Estimated
Fair
Value
Estimated
Amortizable
Life
Weighted
Average
Amortizable
Life
Net tangible assets acquired:
Cash
$
34,672
Other current assets
7,626
Other assets
6,906
Accounts payable and accrued liabilities
(19,460
)
Other liabilities
(11,240
)
Total net tangible assets acquired
18,504
Intangible assets acquired:
Pay accounts and free accounts
53,700
1
-
4 years
3.7 years
Software and technology
3,600
4
-
5 years
4.5 years
Patents and trademarks
2,300
5
-
7 years
6.0 years
Other
200
1 year
1 year
Total intangible assets acquired
59,800
Goodwill
10,940
Total purchase price
$
89,244
Year Ended
June 30, 2002
(unaudited)
Revenues
$
195,423
Net loss
$
(49,553
)
Net loss per share
$
(1.27
)