Restoration Hardware 2014 Annual Report Download - page 95

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NOTE 6—GOODWILL AND INTANGIBLE ASSETS
The following sets forth the goodwill and intangible assets as of January 31, 2015 (in thousands):
Gross
Carrying
Amount
Accumulated
Amortization
Foreign
Currency
Translation
Net Book
Value
Intangible assets subject to amortization:
Fair value of leases (1)
Fair market write-up $ 3,110 $(2,419) $— $ 691
Fair market write-down (2) (1,467) 1,127 — (340)
Customer relationships (3) 80 (80) — —
Total intangible assets subject to amortization $ 1,723 $(1,372) $— $ 351
Intangible assets not subject to amortization:
Goodwill $124,461 $ — $ (37) $124,424
Trademarks and domain names 47,863 — — 47,863
(1) The fair value of each lease is amortized over the life of the respective lease.
(2) The fair market write-down of leases is included in other non-current obligations on the consolidated
balance sheets.
(3) Customer relationships are amortized over a one-year period.
The following sets forth the goodwill and intangible assets as of February 1, 2014 (in thousands):
Gross
Carrying
Amount
Accumulated
Amortization
Foreign
Currency
Translation
Net Book
Value
Intangible assets subject to amortization:
Fair value of leases (1)
Fair market write-up $ 10,443 $(9,187) $ 42 $ 1,298
Fair market write-down (2) (2,591) 2,072 — (519)
Total intangible assets subject to amortization $ 7,852 $(7,115) $ 42 $ 779
Intangible assets not subject to amortization:
Goodwill $122,285 $ — $139 $122,424
Trademarks and domain names 47,410 — — 47,410
(1) The fair value of each lease is amortized over the life of the respective lease.
(2) The fair market write-down of leases is included in other non-current obligations on the consolidated
balance sheets.
The Company recorded amortization expense related to intangible assets of $0.7 million, $1.1 million, and
$2.4 million in fiscal 2014, fiscal 2013, and fiscal 2012, respectively.
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