Logitech Reports Non-Cash Accounting Charge of $211M for Q3 FY 2013

Logitech International

today announced that it will take a non-cash, non-tax-deductible goodwill impairment charge, estimated to be $211 million, in the third quarter of Fiscal Year 2013, related to its video conferencing reporting unit. Logitech's video conferencing reporting unit encompasses the integrated operations of the company's acquisitions of Sightspeed, LifeSize, Paradial and Mirial, for approximately $440 million combined. Under generally accepted accounting principles (GAAP), companies are required to conduct an annual goodwill impairment test for each of their reporting units. Goodwill is considered impaired when its carrying amount exceeds its implied fair value. As a result of its annual impairment test, Logitech determined that a write down of