Annual report pursuant to Section 13 and 15(d)

Goodwill and Intangible Assets, Net of Accumulated Amortization

v3.5.0.2
Goodwill and Intangible Assets, Net of Accumulated Amortization
12 Months Ended
May 31, 2016
Goodwill and Intangible Assets, Net of Accumulated Amortization [Abstract]  
Goodwill and Intangible Assets, Net of Accumulated Amortization

Note I — Goodwill and Intangible Assets, Net of Accumulated Amortization

The Company had goodwill balances on its Consolidated Balance Sheets of $657.1 million as of May 31, 2016, and $561.5 million as of May 31, 2015. The increase of $95.6 million in goodwill since May 31, 2015 was the result of the acquisition of substantially all of the net assets of Advance Partners by a wholly owned subsidiary of the Company in December 2015. 

The Company has certain intangible assets with finite lives. The components of intangible assets, at cost, consisted of the following:







 

 

 

 

 

 



 

 

 

 

 

 



 

May 31,

In millions

 

2016

 

2015

Client lists

 

$

289.2 

 

$

244.6 

Other intangible assets

 

 

5.4 

 

 

3.2 

Total intangible assets, gross

 

 

294.6 

 

 

247.8 

Less: Accumulated amortization

 

 

225.1 

 

 

215.4 

Intangible assets, net of accumulated amortization

 

$

69.5 

 

$

32.4 



During fiscal 2016, the Company acquired intangible assets with weighted-average amortization periods as follows: customer lists —9.7 years; other intangible assets —5.0 years; and total —9.5 years.  Amortization expense relating to intangible assets was $15.9 million, $14.5 million, and $15.9 million for fiscal years 2016,  2015, and 2014, respectively.

The estimated amortization expense for the next five fiscal years relating to intangible asset balances is as follows:







 

 

 

In millions

 

Estimated amortization

Year ending May 31,

 

expense

2017

 

$

17.7 

2018

 

 

14.1 

2019

 

 

11.1 

2020

 

 

8.5 

2021

 

 

6.5