Annual report pursuant to Section 13 and 15(d)

Goodwill and Purchased Intangible Assets (Tables)

v3.5.0.2
Goodwill and Purchased Intangible Assets (Tables)
12 Months Ended
Jun. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
The goodwill balances by reporting units as of June 30, 2016 were as follows:
(In thousands)
 
Wafer Inspection
 
Patterning
 
Others
 
Total
Balance as of June 30, 2015
 
$
332,783

(1) 
$
2,480

(2) 
$

 
$
335,263

Goodwill allocation
 
(51,671
)
(3) 
50,775

(3) 
896

(3) 

Goodwill adjustment
 
(86
)
 

 

 
(86
)
Balance as of June 30, 2016
 
$
281,026

 
$
53,255

 
$
896

 
$
335,177

__________________
(1)
The balance as of June 30, 2015, reflects goodwill for the Defect Inspection reporting unit under the old reporting structure which was renamed as Wafer Inspection under the new reporting structure after certain components were allocated out.
(2)
The balance as of June 30, 2015, reflects goodwill for the Metrology reporting unit under the old reporting structure which was renamed as Patterning under the new reporting structure after certain components were allocated in.
(3)
The reorganization resulted in certain goodwill balances to be reallocated as noted above.
The following table presents goodwill balances and the movements during the fiscal years ended June 30, 2016 and 2015: 
(In thousands)
 
As of June 30, 2014
$
335,355

Adjustments
(92
)
As of June 30, 2015
335,263

Adjustments
(86
)
As of June 30, 2016
$
335,177

Components of Purchased Intangible Assets
The components of purchased intangible assets as of the dates indicated below were as follows:
(In thousands)
 
 
As of June 30, 2016
 
As of June 30, 2015
Category
Range of
Useful Lives
 
Gross
Carrying
Amount
 
Accumulated
Amortization and Impairment
 
Net
Amount
 
Gross
Carrying
Amount
 
Accumulated
Amortization and Impairment
 
Net
Amount
Existing technology
4-7 years
 
$
141,659

 
$
138,160

 
$
3,499

 
$
141,659

 
$
134,664

 
$
6,995

Patents
6-13 years
 
57,648

 
57,648

 

 
57,648

 
56,998

 
650

Trade name/Trademark
4-10 years
 
19,893

 
19,743

 
150

 
19,893

 
18,899

 
994

Customer relationships
6-7 years
 
54,980

 
54,298

 
682

 
54,980

 
51,724

 
3,256

Total
 
 
$
274,180

 
$
269,849

 
$
4,331

 
$
274,180

 
$
262,285

 
$
11,895

Remaining Estimated Amortization Expense
Based on the intangible assets recorded as of June 30, 2016, and assuming no subsequent additions to, or impairment of, the underlying assets, the remaining estimated annual amortization expense is expected to be as follows:
Fiscal year ending June 30:
Amortization
(In thousands)
2017
$
2,806

2018
1,525

Total
$
4,331