Nautilus 2010 Annual Report Download - page 43

Download and view the complete annual report

Please find page 43 of the 2010 Nautilus 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 110

  • 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
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110

Table of Contents
and no impairment was indicated. In determining the estimated future cash flows, current and expected future levels of cash flow were
considered, as well as business trends and market conditions.
No goodwill is assigned to the retail reporting unit. Changes in goodwill of the direct reporting unit in the years ended
December 31, 2010 and
2009 were as follows (in thousands):
(8) OTHER INTANGIBLE ASSETS
Components of other intangible assets as of December 31, 2010 and 2009 were as follows (in thousands):
In 2009, in light of various changes in long-term product strategies, the Company tested other intangible assets for impairment and recognized
impairment charges of $5.9 million for intangible assets of its retail business segment.
Amortization expense for intangible assets was $2.1 million and $2.5 million in the years ended December 31, 2010 and 2009 , respectively.
Amortization expense for intangible assets is expected to be approximately $2.1 million in each year from 2011 through 2013 and $2.0 million in
2014, with the remaining $1.5 million amortized over the six-year period from 2015 through 2020.
(9) ACCRUED LIABILITIES
Components of accrued liabilities as of December 31, 2010 and 2009 were as follows (in thousands):
(10) PRODUCT WARRANTIES
Changes in the Company's product warranty liability in the years ended December 31, 2010 and 2009 were as follows (in thousands):
41
Goodwill
Balance, January 1, 2009
$
2,398
Currency exchange rate adjustment
396
Balance, December 31, 2009
2,794
Currency exchange rate adjustment
137
Balance, December 31, 2010
$
2,931
Estimated
Useful Life
(in years)
December 31,
2010 2009
Indefinite life trademarks N/A
$
9,052
$
9,052
Patents 1 to 16
18,154
18,154
Total cost
27,206
27,206
Accumulated amortization - patents
(8,432
)
(6,368
)
$
18,774
$
20,838
December 31,
2010 2009
Restructuring costs
$
—
$
609
Exit costs of discontinued operations
1,107
716
Payroll and benefits
1,954
3,903
Royalties
753
970
Legal and professional fees
488
1,265
Other
2,743
3,281
$
7,045
$
10,744