THE accounting treatment of last year’s Magellan Travel Group acquisition by Helloworld has been restated in today’s HLO accounts, with Magellan’s commercial agreements now identified as a “separate intangible asset” worth $16.6m.
Helloworld said it would amortise the value of this asset over a 12-year period, with the adjustment meaning goodwill associated with Magellan is valued at $10.4 million attributable to “systems, processes and industry knowledge acquired” as well as the “experience of Magellan Travel management”.
Source: traveldaily