Diamond Foods Inc | 2013 | FY | 3


(9) Property, Plant and Equipment

Property, plant and equipment consisted of the following at July 31:

 

     2013     2012  

Land and improvements

   $ 9,823      $ 9,638   

Buildings and improvements

     56,745        51,556   

Machinery, equipment and software

     214,294        169,211   

Construction in progress

     2,024        26,236   

Capital leases

     14,420        11,790   
  

 

 

   

 

 

 

Total

     297,306        268,431   

Less accumulated depreciation

     (163,145     (119,830

Less accumulated amortization

     (1,936     (1,657
  

 

 

   

 

 

 

Property, plant and equipment, net

   $ 132,225      $ 146,944   
  

 

 

   

 

 

 

For fiscal 2013, 2012 and 2011, depreciation expense was $25.6 million, $20.3 million and $20.0 million, respectively.

During the fiscal 2012, Diamond recorded asset impairment charges of $10.1 million associated with equipment that either is not currently being utilized or will not be utilized for its remaining useful life. The fair value of the equipment was determined utilizing third party quotes and a discounted cash flow analysis.

During fiscal 2013, the Company accelerated the remaining useful lives of leasehold and building improvement assets at the Fishers facility. Refer to Note 10 to the Notes to the Consolidated Financial Statements for further discussion on the Fishers facility closure.


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