Cogeco 2007 Annual Report Download - page 59
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Please find page 59 of the 2007 Cogeco annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report. Notes to Consolidated Financial Statements COGECO CABLE INC. 2007 57
9) GOODWILL AND OTHER INTANGIBLE ASSETS
2007 2006
(amounts are in thousands of dollars) $ $
CUSTOMER RELATIONSHIPS 68,858 —
CUSTOMER BASE 989,552 989,552
1,058,410 989,552
GOODWILL 342,584 422,108
1,400,994 1,411,660
A) INTANGIBLE ASSETS
During fi scal year 2007, intangible assets variations were as follows:
CUSTOMER CUSTOMER
RELATIONSHIPS BASE TOTAL
(amounts are in thousands of dollars) $ $ $
BALANCE, BEGINNING OF YEAR — 989,552 989,552
BUSINESS ACQUISITION (NOTE 2) 71,684 — 71,684
AMORTIZATION (2,561) — (2,561)
FOREIGN CURRENCY TRANSLATION ADJUSTMENT (265) — (265)
BALANCE, END OF YEAR 68,858 989,552 1,058,410
At August 31, 2007 and 2006, the Corporation tested the value of customer base for impairment and concluded that no
impairment existed.
B) GOODWILL
During fi scal years 2007 and 2006, goodwill variation was as follows:
2007 2006
(amounts are in thousands of dollars) $ $
BALANCE, BEGINNING OF YEAR 422,108 —
BUSINESS ACQUISITION — 431,024
ADJUSTMENT TO THE ALLOCATION OF THE PURCHASE PRICE (NOTE 2) (87,020) —
FOREIGN CURRENCY TRANSLATION ADJUSTMENT 7,496 (8,916)
BALANCE, END OF YEAR 342,584 422,108