8x8 2012 Annual Report Download - page 70

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The estimated fair values of the assets acquired and liabilities assumed are as follows (in thousands):
Estiamted
Fair Value
Cash $ 2
Accounts receivable, net 61
Other assets 10
Property and equipment, net 105
Intangible assets 308
Total assets acquired 486
Accounts payable (67)
Other liabilities (29)
Total liabilities assumed (96)
Net identifiable assets acquired 390
Goodwill 1,210
Total acquisition costs $ 1,600
10. STRATEGIC INVESTMENT
In April 2010, the Company invested $250,000 cash, transferred its wholly-owned French research and development
subsidiary, 8x8 Europe SARL, and granted a non-exclusive license to certain 8x8 technology, to Stonyfish, a privately-held
company in Los Altos, California in exchange for a 17% interest in Stonyfish following its initial round of external fundraising.
The total investment in Stonyfish is as follows (in thousands):
Cash - 8x8, Inc. $ 250
Cash - 8x8 Europe SARL 65
Net tangible assets - 8x8 Europe SARL 41
Total investment $ 356
In February 2012, the Company reviewed the recoverability of its strategic investment due to a change in circumstances that
indicated that the carrying value of the asset may not be recoverable. As the change in circumstance was deemed to be other-
than-temporary, the Company has recorded an impairment charge and written the investment down to its fair value of $0.
68