Supercuts 2009 Annual Report Download - page 104

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Table of Contents
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
4. ACQUISITIONS (Continued)
Based upon purchase price allocations, the components of the aggregate purchase prices of the acquisitions made during fiscal years 2009,
2008, and 2007 and the allocation of the purchase prices were as follows:
(1)
2009
2008
2007
(Dollars in thousands)
Components of aggregate purchase prices:
Cash
$
40,051
$
132,971
$
68,747
Note receivable applied to purchase price
—
10,000
—
Common stock
—
4
—
Liabilities assumed or payable
75
2,602
558
$
40,126
$
145,577
$
69,305
Allocation of the purchase prices:
Current assets
$
1,337
$
16,631
$
3,876
Property and equipment
5,989
21,398
10,086
Deferred income tax asset
1,787
1,789
1,200
Other noncurrent assets
—
473
50
Goodwill
30,812
105,252
50,844
Identifiable intangible assets
1,322
16,114
4,464
Accounts payable and accrued expenses
(818
)
(15,526
)
(412
)
Deferred income tax liability
—
—
(
436
)
Other noncurrent liabilities
(303
)
(3,449
)
(367
)
Settlement of contingent purchase price(1)
—
2,895
—
$
40,126
$
145,577
$
69,305
During fiscal years 2005, the Company guaranteed that the stock issued in conjunction with one of its acquisitions would reach a certain
market price by the fourth quarter of fiscal year 2008. The guaranteed stock price was factored into the purchase price at the acquisition
date by recording an increase to additional paid-in-capital for the differential between the stock price at the date of acquisition and the
guaranteed stock price. However, the stock did not reach this price during the agreed upon time frame. Therefore, the Company was
obligated to issue $2.9 million in additional consideration to the sellers during the fourth quarter of fiscal year 2008. The $2.9 million in
fiscal year 2008 represents the difference between the guaranteed stock price and the actual stock price on the last day of the agreed upon
time frame, and was recorded as a reduction to additional paid-in capital.
102