Creative 2008 Annual Report Download - page 30

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30
NOTE 3 – BALANCE SHEET DETAIL (in US$’000) (Cont’d)
The sale was completed on June 26, 2008, legal title has been transferred to the buyer and sale proceeds were received.
However under FASB Statement No. 98 “Accounting for Leases: Sale-Leaseback Transactions Involving Real Estate, Sales-
Type Leases of Real Estate, Definition of the Lease Term, and Initial Direct Costs of Direct Financing Leases” (“SFAS
98”), the transaction did not meet certain criteria of sale-leaseback accounting. Accordingly, for US GAAP accounting
purposes, the building is still recorded as a fixed asset and the sale proceeds received, net of security deposit and rental
prepayment, is presented as “Advance payments from sale of building” (see Note 4). The gain on the sale equal to the
difference between the net book value of the building and the balance of the “Advance payments from sale of building”
will be recognized at the end of the initial five year lease term.
฀As฀of฀June฀30
฀ 2008฀ 2007
Other฀non-current฀assets:฀ ฀ ฀ ฀ ฀
฀Other฀intangible฀assets฀ ฀ $฀ 37,568฀ $฀ 37,568
฀ Accumulated฀impairment฀charges฀ ฀ ฀ (4,727)฀ ฀ (4,727)
฀ Accumulated฀amortization฀ ฀ ฀ (32,841)฀ ฀ (32,538)
฀ ฀
฀ Other฀intangible฀assets,฀net฀ ฀ ฀ –฀ ฀ 303
฀ Other฀non-current฀assets฀ ฀ ฀ 15,519฀ ฀ 8,694
฀ ฀ ฀ ฀ Total฀other฀non-current฀assets฀ ฀ $฀ 15,519฀ $฀ 8,997
Other intangible assets consist of mainly patents and trademarks.
Goodwill and other intangible assets fully amortized were excluded from the table above. Other intangible assets amortization
expense was $0.3 million, $1.5 million and $2.2 million for fiscal years 2008, 2007 and 2006.
฀As฀of฀June฀30
฀ 2008฀ 2007
Other฀accrued฀liabilities:฀
฀ Marketing฀accruals฀ ฀ $฀ 19,499฀ $฀ 22,304
฀ Payroll฀accruals฀ ฀ ฀ 17,345฀ ฀ 15,500
฀ Royalty฀accruals฀ ฀ ฀ 6,439฀ ฀ 6,071
฀ Warranty฀accruals฀ ฀ ฀ 5,815฀ ฀ 6,499
฀ Deposits฀and฀other฀creditors฀ ฀ ฀ 3,719฀ ฀ 12,932
฀ Other฀accruals฀ ฀ ฀ 38,347฀ ฀ 29,592
฀ ฀ ฀ ฀ Total฀other฀accrued฀liabilities฀ ฀ $฀ 91,164฀ $฀ 92,898
NOTES฀TO฀CONSOLIDATED฀FINANCIAL฀STATEMENTS