DGX » Topics » Goodwill

This excerpt taken from the DGX 10-K filed Feb 17, 2009.

          Goodwill

          Goodwill represents the cost of acquired businesses in excess of the fair value of assets acquired, including separately recognized intangible assets, less the fair value of liabilities assumed in a business combination. The Company uses a nonamortization approach to account for purchased goodwill. Under a nonamortization approach, goodwill is not amortized, but instead is periodically reviewed for impairment.

F-12


QUEST DIAGNOSTICS INCORPORATED AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – CONTINUED
(dollars in thousands unless otherwise indicated)

This excerpt taken from the DGX 10-K filed Feb 22, 2008.

          Goodwill

          Goodwill represents the cost of acquired businesses in excess of the fair value of assets acquired, including separately recognized intangible assets, less the fair value of liabilities assumed in a business combination. The Company uses a nonamortization approach to account for purchased goodwill. Under a nonamortization approach, goodwill is not amortized, but instead is periodically reviewed for impairment.

This excerpt taken from the DGX 10-K filed Mar 1, 2007.

          Goodwill

          Goodwill represents the cost of acquired businesses in excess of the fair value of assets acquired, including separately recognized intangible assets, less the fair value of liabilities assumed in a business combination. The Company uses a nonamortization approach to account for purchased goodwill. Under a nonamortization approach, goodwill is not amortized, but instead is periodically reviewed for impairment.

This excerpt taken from the DGX 10-K filed Feb 28, 2006.

          Goodwill

          Goodwill represents the cost of acquired businesses in excess of the fair value of assets acquired, including separately recognized intangible assets, less the fair value of liabilities assumed in a business combination. The Company uses a nonamortization approach to account for purchased goodwill. Under a nonamortization approach, goodwill is not amortized, but instead is reviewed for impairment.

F-11


QUEST DIAGNOSTICS INCORPORATED AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – CONTINUED
(dollars in thousands unless otherwise indicated)

This excerpt taken from the DGX 8-K filed Jan 17, 2006.

Goodwill

      The changes in the carrying amount of goodwill for 2004 and 2003 are as follows:

    Risk
assessment
services

  Clinical–
Healthcare
services

  Clinical–
Substance
abuse testing

  Total

    (in thousands)

Balance as of December 31, 2002

     $ 86,938        $ 9,371        $        $ 96,309  

Acquisitions

       2,628                            2,628  

Purchase accounting adjustments

       (67 )        130                   63  

Foreign currency translation adjustments

       103                            103  
        
        
        
        
 

Balance as of December 31, 2003

       89,602          9,501                   99,103  

Acquisitions

       1,562          29,490          7,506          38,558  

Additional consideration paid

       142          255                   397  

Foreign currency translation adjustments

       105                            105  
        
        
        
        
 

Balance as of December 31, 2004

     $ 91,411        $ 39,246        $ 7,506        $ 138,163  
        
        
        
        
 

                               

      The amount of goodwill acquired during 2004 and 2003 that is subject to deductible amortization for income tax purposes is $38,558,000 and $2,628,000, respectively.

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