Equifax 2015 Annual Report Download - page 55

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December 31,
2015 2014
(Inmillions)
Current assets $—$39.1
Property and equipment —3.6
Identifiable intangible assets (1) —118.1
Goodwill (2) —240.7
Total assets acquired —401.5
Total liabilities assumed —(62.7)
Net assets acquired $—$338.8
(1) Identifiable intangible assets are further disaggregated in the following table.
(2) None of the goodwill resulting from 2014 acquisitions 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 recognition of goodwill, were expanded growth opportunities from new or enhanced product offerings and
geographies, 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,
2015 2014
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 $—0.0 $ 72.1 9.7
Acquired software and technology —0.0 21.7 4.6
Non-compete agreements —0.0 12.8 2.4
Trade names and other intangible assets —0.0 11.5 9.7
Total acquired intangibles $—0.0 $ 118.1 8.0
5. GOODWILL AND OTHER INTANGIBLE ASSETS
Goodwill. Goodwill represents the cost in excess of the fair value of the net assets acquired in a business
combination. As discussed in Note 1, goodwill is tested for impairment at the reporting unit level on an annual basis and on an
interim basis if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting
unit below its carrying value. We perform our annual goodwill impairment tests as of September 30 each year. The fair value
estimates for our reporting units were determined using a combination of the income and market approaches in accordance with
the Company’s methodology. Our annual impairment tests as of September 30, 2015, 2014 and 2013 resulted in no impairment
of goodwill.
In 2015, the personal solutions business in the United Kingdom was consolidated into the North America Personal
Solutions segment, which was reorganized into the Personal Solutions segment. Additionally in 2015, the direct to consumer
reseller businesses in the U.S., Canada, and the United Kingdom were also consolidated into the Personal Solutions segment.
These changes were driven by an enterprise wide strategy to maximize the penetration of our products and services in our
targeted markets. We determined that market focus and operating efficiency could be further improved by reorganizing and
consolidating the United States, Canada and the United Kingdom Personal Solutions and direct to consumer reseller operating
activities into one segment, Personal Solutions.
To reflect this new organizational structure, we have reallocated goodwill from the USIS, Canada, and Europe
reporting units to the Personal Solutions reporting unit based on the relative fair values of the respective portions of USIS,
Canada, and Europe. A change in reporting units requires that goodwill be tested for impairment. During 2015, we performed
goodwill impairment tests prior to and following the reallocation of goodwill for USIS, Canada, Europe and Personal
Solutions, which resulted in no impairment.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
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