GameStop 2014 Annual Report Download - page 98

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risk premium to reflect the inherent risk of holding astandalone intangible asset. The discount rate used in the analysis reflects a
hypothetical market participant’s weighted-average cost of capital, current market rates and the risks associated with the projected
cash flows.
We completed the annual impairment tests of indefinite-lived intangible assets as of the first day of the fourth quarter of fiscal
2014 and fiscal 2013 and concluded that none of our indefinite-lived intangible assets were impaired.
During the third quarter of fiscal 2012, our management determined that sufficient indicators of potential impairment existed
to require an interim impairment test of our Micromania trade name. As aresultofthe interim impairment test of the Micromania
trade name, we recorded a$44.9 million impairment charge during the third quarter of fiscal 2012. The impairment charge in fiscal
2012 is recorded in asset impairments in our consolidated statements of operations and is reflected in the operating results of our
Europe segment. There were no impairments of indefinite-lived intangible assets in connection with the completion of our annual
impairment test for fiscal 2012.
The gross carrying amount and accumulated amortization of our intangible assets other than goodwill as of January 31, 2015
and February 1, 2014 were as follows(in millions):
As of January 31, 2015 As of February 1, 2014
Gross
Carrying
Amount (1)
Accumulated
Amortization
Net
Carrying
Amount
Gross
Carrying
Amount
Accumulated
Amortization
Net
Carrying
Amount
Intangible assets with indefinite lives:
Trade names ............................................... $45.4 $—$45.4 $54.2 $—$54.2
Dealer agreements...................................... 134.0—134.057.2—57.2
Intangible assets with finitelives:
Key money................................................. 91.5 (41.8)49.7 113.6(44.4)69.2
Other .......................................................... 32.7 (24.0)8.740.9(27.2)13.7
Total.............................................................. $303.6 $(65.8)$ 237.8 $265.9 $(71.6)$ 194.3
___________________
(1) The change in the gross carrying amount of intangible assets from February 1, 2014 to January 31, 2015 is primarily due to
acquisitions (Note 3) andthe impact of exchange rate fluctuations.
Intangible asset amortization expense for the fiscal years ended January 31, 2015, February 1, 2014 and February 2, 2013
was $12.0 million, $14.0 million and $14.3 million, respectively.
The estimated aggregate intangible asset amortization expense for the next fivefiscal years is as follows (in millions):
Fiscal Year Ending on or around January 31,
Projected Amortization
Expense
2016.......................................................................................................................................................... $10.2
2017.......................................................................................................................................................... 8.1
2018.......................................................................................................................................................... 7.4
2019.......................................................................................................................................................... 7.1
2020.......................................................................................................................................................... 6.2
$39.0
GAMESTOP CORP.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
F-21
10. Debt
Issuance of 5.50% Senior Notes due 2019
On September 24, 2014, we issued $350.0 million aggregate principal amount of unsecured 5.50% senior notes due October 1,
2019 (the "Senior Notes"). The Senior Notes bear interest at the rate of 5.50% per annum with interest payable semi-annually in
arrears on April 1and October 1ofeach year beginning on April 1, 2015. The Senior Notes were sold in aprivate placement and
will not be registered under theU.S. Securities Act of 1933. The Senior Notes were offered in the U.S. to “qualified institutional
buyers” pursuant to the exemption from registration under Rule 144A of the Securities Act and in exempted offshore transactions
pursuant to Regulation Sunder theSecuritiesAct.