Equifax 2011 Annual Report Download - page 52

Download and view the complete annual report

Please find page 52 of the 2011 Equifax 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.

Page out of 80

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80

We financed these purchases through borrowings under our Senior
Credit Facility, which were subsequently refinanced through the issu-
ance in November 2009 of our 4.45%, five-year unsecured Senior
Notes. The 4.45% Senior Notes are further described in Note 6 of the
Notes to the Consolidated Financial Statements.
Purchase Price Allocation. The following table summarizes the
estimated fair value of the net assets acquired and the liabilities
assumed at the acquisition dates. The 2011 allocations are
considered final, except for the resolution of certain contingencies all
of which existed at the acquisition date, primarily related to sales tax
exposures and income tax accounts, which will be resolved when
final returns are filed related to the acquired entities. Estimates for
these items have been included in the purchase price allocations
and will be finalized prior to the one year anniversary date of the
acquisitions.
December 31,
(In millions) 2011 2010
Current assets $ 14.1 $ 6.0
Property and equipment 4.2 0.3
Other assets 0.1 0.6
Identifiable intangible assets
(1)
52.2 30.6
Goodwill
(2)
75.6 47.5
Total assets acquired 146.2 85.0
Total liabilities assumed (13.8) (8.0)
Non-controlling interest —(0.4)
Net assets acquired $132.4 $76.6
(1) Identifiable intangible assets are further disaggregated in the
following table.
(2) Of the goodwill resulting from 2011 and 2010 acquisitions,
$44.7 million and $4.4 million, respectively, is tax deductible.
The primary reasons the purchase price of these acquisitions exceeded the fair value of the net assets acquired, which resulted in the recogni-
tion of goodwill, were expanded growth opportunities from new or enhanced product offerings, cost savings from the elimination of duplicative
activities, and the acquisition of an assembled workforce that are not recognized as assets apart from goodwill.
December 31,
2011 2010
Intangible asset category Fair value
Weighted-average
useful life Fair value
Weighted-average
useful life
(in millions) (in years) (in millions) (in years)
Customer relationships $29.9 8.8 $11.5 8.9
Acquired software and technology 13.4 4.2 13.9 5.9
Purchased data files 3.2 5.2 ——
Non-compete agreements 2.3 3.7 3.8 3.7
Trade names and other intangible assets 3.4 5.5 1.4 5.8
Total acquired intangibles $52.2 6.9 $30.6 6.8
The 2011 and 2010 acquisitions did not have a material impact in the Company’s Consolidated Statements of Income. The impact of the
2011 and 2010 acquisitions would not have significantly changed our Consolidated Statements of Income if they had occurred at the begin-
ning of the earliest year presented.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued
EQUIFAX 2011 ANNUAL REPORT
50