Rayovac 2004 Annual Report Download - page 99

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RAYOVAC CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
(In thousands, except per share amounts)
The results of Ningbo’s operations since the acquisition are included in the Company’s Consolidated
Statement of Operations for the year ended September 30, 2004. The financial results of the Ningbo acquisition
are reported as part of Europe/ROW segment. Ningbo contributed $8,400 in net sales and recorded an operating
loss of $400 in the current year.
The total purchase price for Ningbo was approximately $17,000 in cash, which includes acquisition related
expenditures of approximately $600, plus approximately $14,000 of assumed debt. Cash acquired and included in
current assets below totaled approximately $5,500. The Company is currently finalizing the purchase price
allocation, which may impact the Company’s estimates of the net assets acquired in the transaction.
As of March 31, 2004
Current assets .............................................. $20,000
Property, plant, and equipment ................................ 12,000
Goodwill .................................................. 8,000
Other assets ............................................... —
Total assets acquired .................................... 40,000
Current liabilities ........................................... 9,000
Total debt ................................................. 14,000
Total liabilities assumed .................................. 23,000
Net assets acquired .......................................... $17,000
Less: Cash acquired ..................................... (5,500)
Payments for acquisitions .................................... $11,500
None of the goodwill is expected to be deductible for tax purposes.
On September 30, 2003, the Company acquired all of the equity interests of Remington Products Company,
L.L.C. Remington is a leading consumer products company focusing on the development and marketing of
personal care products. Remington designs and distributes electric shavers and accessories, grooming products,
hair care appliances and other small electrical consumer products.
The cash purchase price was approximately $174,000, which includes approximately $9,000 of acquisition
related expenditures, and the Company assumed Remington’s debt of approximately $180,400. The following
table summarizes the fair value of the assets acquired and liabilities assumed as of the date of the acquisition.
As of September 30, 2003
Current assets ........................................... $167,000
Property, plant, and equipment .............................. 6,700
Intangible assets ......................................... 160,000
Goodwill ............................................... 129,000
Other assets ............................................. 8,100
Total assets acquired .................................. 470,800
Current liabilities ........................................ 111,900
Long-term liabilities ...................................... 184,900
Total liabilities assumed ............................... 296,800
Net assets acquired ....................................... $174,000
Less: Cash acquired .................................. (15,900)
Payments for acquisitions .................................. $158,100
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