v3.3.1.900

GOODWILL | 12 Months Ended
--- | ---
Dec. 31, 2015
GOODWILL. |
GOODWILL | 8. GOODWILL Goodwill Impairment The Partnership recorded $215.8 million of goodwill as part of the Transactions on February 27, 2015 as a result of the purchase price exceeding the estimated fair values of the Partnership’s net assets acquired and liabilities assumed. The Transactions were accounted for in accordance with the applicable reverse merger accounting guidance, and as a result the former Partnership was recorded at fair value as of the date of the transaction. The assumed purchase price or enterprise value of the Partnership was determined using acceptable fair value methods, and was partially derived from the consideration Azure paid for the General Partner and the 90 IDR Units. Upon the announcement of the Transactions, the Partnership’s unit price rose to an all-time high of $23.80 per share. This increased unit price was a significant driver of the fair value of the Partnership, and the goodwill that was established at that time. As part of our annual assessment of goodwill, and in light of the continued deterioration of energy related commodity prices and an extended decline in the Partnership’s unit price, we engaged a third party valuation firm to perform a goodwill impairment analysis. Based upon the results of this analysis, the Partnership has determined that the carrying amount of goodwill attributable to both reportable segments was impaired because the decline in operations due to the significant declines in natural gas and NGL prices during the past year. The Partnership determined the estimated fair value of each reporting unit primarily by calculating the present value of its estimated future cash flows. The Partnership determined the implied fair value of goodwill associated with each reporting unit by subtracting the estimated fair value of the tangible assets and intangible assets associated with each reporting unit from the estimated carrying value of the unit. The Partnership recognized an impairment loss of $215.8 million during the third quarter of 2015.

X
- References No definition available. + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for goodwill. + References No definition available. + Details
Name: | us-gaap_GoodwillDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration