Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

6.	GOODWILL AND OTHER INTANGIBLE ASSETS:

A summary of changes in Quanta’s goodwill is as follows (in thousands):


	Electric Power Division			Oil and Gas Infrastructure Division			Fiber Optic Licensing Division		Total
Goodwill balance at December 31, 2012	$	1,065,152		$	137,703		$	334,790	$	1,537,645
Goodwill acquired during 2013		112,549			143,257			—		255,806
Foreign currency translation adjustment related to goodwill		(9,617	)		(3,117	)		—		(12,734	)

Goodwill balance at December 31, 2013		1,168,084			277,843			334,790		1,780,717
Goodwill acquired during 2014		71,517			102,968			—		174,485
Foreign currency translation adjustment related to goodwill		(16,377	)		(7,340	)		—		(23,717	)

Goodwill balance at December 31, 2014	$	1,223,224		$	373,471		$	334,790	$	1,931,485

As described in Note 2, Quanta’s operating units are organized into one of Quanta’s three internal divisions and, accordingly, Quanta’s goodwill associated with each of its operating units has been aggregated on a divisional basis and reported in the table above. These divisions are closely aligned with Quanta’s reportable segments based on the predominant type of work performed by the operating units within the divisions. From time to time, operating units may be reorganized among Quanta’s internal divisions, as Quanta periodically re-evaluates strategies to better align its operations as business environments evolve.

Quanta’s intangible assets subject to amortization and the remaining weighted average amortization periods related to such assets were as follows (in thousands except for weighted average amortization periods, which are in years):


	As of December 31, 2014							As of December 31, 2013							As of December 31, 2014
	Intangible Assets		Accumulated Amortization			Intangible Assets, Net		Intangible Assets		Accumulated Amortization			Intangible Assets, Net		Remaining Weighted Average Amortization Period in Years
Customer relationships	$	257,380	$	(74,289	)	$	183,091	$	199,224	$	(59,417	)	$	139,807		10.2
Backlog		151,404		(138,460	)		12,944		136,831		(127,233	)		9,598		1.3
Trade names		49,664		(6,278	)		43,386		40,342		(4,228	)		36,114		20.0
Non-compete agreements		31,430		(25,136	)		6,294		28,895		(22,860	)		6,035		3.4
Patented rights and developed technology		22,073		(11,695	)		10,378		21,440		(9,617	)		11,823		4.6

Total intangible assets subject to amortization	$	511,951	$	(255,858	)	$	256,093	$	426,732	$	(223,355	)	$	203,377		11.0

Additionally, Quanta had $4.5 million of intangible assets not subject to amortization at December 31, 2014 and 2013.

Amortization expense for intangible assets was $35.9 million, $27.5 million and $37.7 million for the years ended December 31, 2014, 2013 and 2012, respectively. The estimated future aggregate amortization expense of intangible assets as of December 31, 2014 is set forth below (in thousands):


For the Fiscal Year Ending December 31,
2015	$	34,823
2016		28,430
2017		24,553
2018		24,277
2019		23,508
Thereafter		120,502

Total	$	256,093

- 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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