Polaris 2011 Annual Report Download - page 79

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2011 and 2010. The results of the analyses indicated that no goodwill or intangible impairment existed. In
accordance with Topic 350, the Company will continue to complete an impairment analysis on an annual basis.
Goodwill and other intangible assets, net, consist of $44,668,000 and $28,354,000 of goodwill and $33,050,000
and $2,959,000 of intangible assets, net of accumulated amortization, for the periods ended December 31, 2011
and December 31, 2010, respectively.
Additions to goodwill and other intangible assets in 2011 relate to the acquisition of Indian Motorcycle
Company, GEM and Goupil during 2011. Goodwill associated with these acquisitions is tax deductible. Financial
results for each of the above acquisitions are included in the Company’s consolidated results from the date of
acquisition. Pro forma financial results are not presented as the acquisitions are not material, individually or in
the aggregate. The aggregate Goupil purchase price was allocated on a preliminary basis to the assets acquired
and liabilities assumed based on their estimated fair values at the date of acquisition. As of December 31, 2011,
this allocation for Goupil remains preliminary related to income taxes and capitalized leases.
The changes in the carrying amount of goodwill for the years ended December 31, 2011 and 2010 are as
follows (in thousands):
2011 2010
Balance as of beginning of year ....................... $28,354 $25,869
Goodwill acquired during the year ..................... 16,482 1,985
Currency translation effect on foreign goodwill balances . . . (168) 500
Balance as of end of year ............................ $44,668 $28,354
For other intangible assets the changes in the net carrying amount for the years December 31, 2011 and 2010
were as follows (in thousands):
For the Year Ended
December 31, 2011
For the Year Ended
December 31, 2010
Gross
Amount
Accumulated
Amortization
Gross
Amount
Accumulated
Amortization
Other intangible assets, beginning ................... $ 3,147 $ (188) — —
Intangible assets acquired during the period ....... 31,106 — $3,001 —
Amortization expense ......................... — (1,018) — $(188)
Foreign currency translation effect on balances ..... 3 — 146 —
Other intangible assets, ending ...................... $34,256 $(1,206) $3,147 $(188)
The components of other intangible assets were as follows (dollars in thousands):
December 31, 2011
Estimated Life
(Years)
Gross Carrying
Amount
Accumulated
Amortization Net
Non-compete agreements ............. 5 $ 240 $ (24) $ 216
Dealer/customer related ............... 7 8,013 (366) 7,647
Developed technology ................ 7 8,625 (816) 7,809
Total amortizable ................ 16,878 (1,206) 15,672
Non-amortizable—brand/trade names .... 17,378 — 17,378
Total other intangible assets, net .... $34,256 $(1,206) $33,050
December 31, 2010
Estimated Life
(Years)
Gross Carrying
Amount
Accumulated
Amortization Net
Developed technology ................ 7 $ 3,147 $ (188) $ 2,959
Total other intangible assets, net .... $ 3,147 $ (188) $ 2,959
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