This excerpt taken from the ELN 6-K filed Apr 11, 2005.
(B) Selling, General and Administrative
Exceptional SG&A expenses were $546.0 million. $182.4 million of the exceptional expenses relate to impairment charges arising on write-downs of intangible assets. $297.6 million relates to the purchase of royalty rights from Pharma Marketing, which had been anounced in December 2003. For additional information on the purchase of royalty rights from Pharma Marketing, please refer to Note 25 to the Consolidated Financial Statements. Other exceptional SG&A expenses were $66.0 million. These include tangible fixed asset write-downs of $9.3 million, severence/relocation costs of $25.1 million and similar costs arising from the restructuring of Elan as part of the recovery plan. They also include legal costs related to the SEC investigation, shareholder litigation and litigation provisions.
In February 2004, we completed the sale of our European sales and marketing business to Zeneus. As a result, the related intangibles were written down to their net realisable value at 31 December 2003. This resulted in an impairment to goodwill of $108.2 million. The other goodwill impairment charge of $16.2 million related to Dura. Impairment charges to acquired IP arising from the acquisition of Nanosystems was $11.7 million. Impairment charges to patents and licences arising on write-downs of the product intangibles for Myobloc amounted to $37.1 million. Other impairments to patents and licences totalled $9.2 million. Each of these impairments arose due to changed expectations for the related products.