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E. I. du Pont de Nemours and Company
Notes to Consolidated Financial Statements (continued)
(Dollars in millions, except per share)
2003 Acquisitions
Griffin LLC
On November 6, 2003, the company acquired for a cash payment of $13 (net of $18 cash acquired) Griffin Corporation’s
49 percent ownership interest in Griffin LLC thereby becoming the sole owner. The results of Griffin LLC’s operations have been
included in the Consolidated Financial Statements since that date. Prior to November 6, 2003, Griffin LLC was accounted for as
an equity affiliate. The business has been integrated into the company’s Agriculture & Nutrition segment.
The following table summarizes the fair values of the 49 percent of assets acquired and liabilities assumed at the date of
acquisition.
Current assets $77
Property, plant and equipment 43
Intangible assets 24
Goodwill 11
Other non-current assets 5
Total assets 160
Current liabilities 72
Long-term debt 63
Long-term liabilities 12
Net assets $13
The acquired intangible assets have a weighted-average useful life of approximately 16 years. This includes product registra-
tions of $10 (9-year weighted-average useful life), trademarks of $7 (39-year weighted-average useful life), patents of $6
(12-year weighted-average useful life) and other intangibles of $1 (25-year weighted-average useful life).
The $11 of goodwill was assigned to Agriculture & Nutrition and is non-deductible for tax purposes. Factors that contributed to
a purchase price resulting in the recognition of goodwill included strengthening the business position with customers, full
integration of Griffin LLC’s product portfolio with the existing business, while significantly reducing operating costs and
improved revenue and profit margins.
DuPont Canada
On April 17, 2003, DuPont commenced a tender offer to acquire the 66,704,465 shares of DuPont Canada not then owned by
DuPont. These shares represented 23.88 percent of the outstanding shares of DuPont Canada. Pursuant to the tender offer,
DuPont acquired 47,141,872 shares of DuPont Canada on June 16, 2003 for $767 and effectively converted the remaining
19,562,593 DuPont Canada shares not owned by DuPont to a cash obligation of $318 that was satisfied on July 28, 2003.
Acquisition related costs were $10. As a controlled majority-owned subsidiary, the results of operations of DuPont Canada
were included in the Consolidated Financial Statements of DuPont prior to the acquisition of the non-controlling minority
interest, and the outside stockholders’ interests were shown as Minority interests.
F-40