adidas AG (2011) Notes [extract] 03 Acquisition/disposal of subsidiaries as well as assets and liabilities [extract] The following valuation methods for the acquired assets were applied: Trademark: The relief-from-royalty method was applied for the trademark/trade name. The fair value was determined by discounting notional royalty savings after tax and adding a tax amortisation benefit, resulting from the amortisation of the acquired asset Other intangible assets: For the valuation of technologies and other intangible assets, the multi-period-excess-earnings method was used. The respective future excess cash flows were identified and adjusted in order to eliminate all elements not associated with these assets. Future cash flows were measured on the basis of the expected sales by deducting variable and sales-related imputed costs for the use of contributory assets. Subsequently, the outcome was discounted using the appropriate discount rate and adding a tax amortisation benefit.
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