Intangible Assets and Goodwill

12 Months Ended

Dec. 31, 2012

Intangible Assets and Goodwill

As at December 31, 2012 and 2011, intangible assets consisted of time-charter contracts with a weighted-average amortization period of 15.9 years and 19.2 years, respectively. The carrying amount of intangible assets for the Partnership’s reportable segments is as follows:


	December 31, 2012									December 31, 2011
	Liquefied Gas Segment $			Conventional Tanker Segment $			Total $			Liquefied Gas Segment $			Conventional Tanker Segment $			Total $
Gross carrying amount		179,813			12,623			192,436			179,813			12,623			192,436
Accumulated amortization		(74,456	)		(7,996	)		(82,452	)		(65,599	)		(5,887	)		(71,486	)

Net carrying amount		105,357			4,627			109,984			114,214			6,736			120,950

Amortization expense of intangible assets were $11.0 million, $9.6 million and $9.6 million for the years ended December 31, 2012, 2011 and 2010, respectively. Amortization of intangible assets in the next five years are approximately $13.3 million (2013), $9.0 million (2014), $8.9 million (2015), $8.9 million (2016) and $8.9 million (2017).

The carrying amount of goodwill as at each of December 31, 2012 and 2011 for the Partnership’s liquefied gas segment was $35.6 million. In 2012 and 2011, the Partnership conducted a goodwill impairment review of its liquefied gas segment and concluded that no impairment had occurred.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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