Technical accounting issues have reached a level of complexity where most management teams find it difficult to stay current on all of the issues. Lyndon Group combines business and accounting expertise with leading valuation and corporate finance techniques to fulfill clients sophisticated financial reporting needs. The services we are offer include:

• Business Valuation Estimates (DCF)
• Purchase Price Allocations (SFAS 141)
• International Business Combinations (SFAS 141, SFAS 141R, SFAS 142 & IFRS 3)
• Goodwill & Intangible Asset Impairment (SFAS 142, SFAS 144, IFRS 3, IAS 36 & IAS 38)
• Intellectual Property Valuation (SFAS 142)
• Option Valuation (SFAS 123R)
• Share-Based Payment (IFRS 2)
• Fresh Start Accounting (SOP 90-7, SFAS 141)

Purchase Price Allocations are valuations of acquired tangible and separately recognizable intangible assets, and the establishment of remaining useful lives. In a PPA valuation, total purchase price in an acquisition is allocated amongst these assets based upon a rigorous determination of their relative fair values. Our professionals have an unparalleled depth of experience in providing clients with valuations of financial assets, intangible assets, and intellectual property including:

• Marketing Intangibles: Trademarks, Trade Names, Product Lines, Non-Competes
• Customer Intangibles: Customer Lists, Contracts & Relationships
• Contract Intangibles: Licensing Agreements, Broadcasting Rights, Use Rights
• Technology Intangibles: Patents, Software, Trade Secrets, Proprietary Technology

We specialize in an array of industries and can dynamically merge our valuation expertise and industry knowledge to assist management with allocation issues throughout the transaction process.

International Business Combinations: The release of IFRS 3 and the related standards in March 2004 changed the accounting for business combinations. Although some differences still remain, the standards assist in converging International Financial Reporting Standards (IFRS) with the U.S. accounting standards SFAS 141 & and SFAS 142. 
Lyndon Group has deep experience in valuation approaches and methodologies for purchase price allocations prepared in accordance with these standards.  Our knowledge of implementing SFAS 141 and 142 for companies in various industries, combined with our international experience, qualifies us to assist you in meeting the requirements of IFRS 3 and related standards. 

Goodwill & Intangible Asset Impairment analysis reflects a comprehensive understanding of the accounting rules coupled with in-depth valuation, financial reporting, and industry knowledge. While there are some common elements to all impairment tests, Lyndon Group can assist you with the unique issues related to your specific industry.

Intellectual Property Valuation: Lyndon Group values a wide array of Intellectual Property. We recognize that the values and lives of these assets are interrelated and dependent upon their use in a specific business context. As such, we conduct each valuation based on our extensive prior experiences yet recognize the unique value drivers inherent in each situation. Our valuations for financial reporting purposes are performed primarily in the context of purchase price allocations. We also perform IP valuations for SFAS 142 impairment testing, charitable donations, the formation of IP holding companies, and for licensing purposes and other transfers of intellectual property.

Option Valuation: Commencing in the first fiscal year subsequent to June 15, 2005, all publicly traded companies are required to count stock-based compensation as a cost against earnings in accordance with SFAS 123R. In addition to the requirement to expense stock options, the standard recommends that companies jettison the use of the Black-Scholes model in favor of the use of lattice models. 
Lyndon Group has extensive experience with lattice models and Black-Scholes as well as key inputs developed from client data such as exercise behavior, forfeiture patterns, and vesting schedules, to estimate the magnitude of your options expense. We also address a variety of employee stock option issues pursuant to SFAS 123R. 

Share-Based Payment includes the use of shares and options as compensation for goods and services provided to a company. Issued in February 2004, IFRS 2 requires that most transactions involving share-based payments be recorded at fair value and charged to the Profit and Loss account beginning in 2005. 
Lyndon Group has extensive experience in the valuation of complex equity instruments using several option pricing techniques, including the traditional Black-Scholes model and the binomial model. Based upon the complex option characteristics unique to employee option plans, we have additionally developed detailed binomial models tailored to incorporate:

• Specifics of employee option plans
• Precise terms of individual company plans
• Exercise characteristics of employees, including early exercise
• Probability of lapsed options
• Specific features of employees such as the probability of early termination of employee
• Contracts as well as the average age of employees

Lyndon Group professionals have the expertise and resources to provide you with the advisory services you require to implement this standard with confidence. 

Fresh Start Accounting: Lyndon Group specializes in Fresh Start Accounting and other valuation issues in conjunction with emergence from Chapter 11 bankruptcy. We specialize in financial reporting valuations based on the rules and guidance established in SFAS 141, the governing document for both Fresh Start Accounting and U.S. business combinations. 
AICPA Statement of Position 90-7 (SOP 90-7) requires that the balance sheet of a company emerging from Chapter 11 bankruptcy must be restated to fair value. It further requires that the reorganization value of the entity should be allocated to the entity's assets and liabilities based on relative fair values in conformity with the procedures specified by SFAS 141. It is critical to accurately allocate total reorganization value among reporting units and then subsequently among tangible and intangible assets because any material miscalculation would likely result in significant impairment risk for either goodwill or long-lived assets subsequent to emergence.  Lyndon Group professionals have the expertise and resources to provide you with the advisory services you require to comply with this standard in confidence.