iRobot 2012 Annual Report Download - page 115

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iROBOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
65
Intangible assets at December 29, 2012 and December 31, 2011 consisted of the following:
December 29, 2012 December 31, 2011
Cost
Accumulated
Amortization Net Cost
Accumulated
Amortization Net
(In thousands) (In thousands)
Completed technology $ 30,600 $ 2,468 $ 28,132 $ 3,700 $ 1,233 $ 2,467
Research contracts 100 100 —
100 100 —
Tradename 800 708 92 700 700 —
Total $ 31,500 $ 3,276 $ 28,224 $ 4,500 $ 2,033 $ 2,467
Amortization expense related to acquired intangible assets was $1.2 million, $903,000, and $475,000 for the fiscal years
ended December 29, 2012, December 31, 2011 and January 1, 2011. The estimated future amortization expense related to
current intangible assets in each of the five succeeding fiscal years is expected to be as follows:
(In thousands)
2013 $ 3,860
2014 3,860
2015 3,852
2016 3,827
2017 3,827
Total $ 19,226
15. Restructuring charges
In 2012 and 2011, the Company incurred restructuring charges of $3.7 million and $1.0 million, respectively, primarily
related to cost reductions in its defense and security business unit, which resulted in workforce reductions and the write-off of
certain inventory and fixed assets. No restructuring charges were incurred in 2010.
The activity for the restructuring programs is presented below:
Fiscal Year Ended
December 29, 2012 December 31, 2011
(In thousands)
Balance at beginning of period $
—
$ —
Charges 3,679 1,015
Utilization (3,482 ) (1,015 )
Balance at end of period $ 197 $ —
16. Industry Segment, Geographic Information and Significant Customers
The Company operates in two reportable segments, the home robots business unit and the defense and security robots
business unit. The nature of products and types of customers for the two segments vary significantly. As such, the segments are
managed separately.
Home Robots
The Company’s home robots business unit offers products to consumers through a network of retail businesses
throughout the United States, to various countries through international distributors and retailers, and through the Company’s
Form 10-K