Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2013

7. Goodwill and Intangible Assets

The changes in the carrying amount of goodwill for the six months ended June 30, 2013, by reportable business segment, were as follows:


	Fluid & Metering Technologies			Health & Science Technologies			Fire & Safety/ Diversified Products			Total
	(In thousands)
Balance at December 31, 2012	$	524,325		$	553,204		$	244,198		$	1,321,727
Foreign currency translation		(1,816	)		(5,722	)		(2,386	)		(9,924	)
Acquisitions and acquisition adjustments		—			17,994			—			17,994

Balance at June 30, 2013	$	522,509		$	565,476		$	241,812		$	1,329,797

ASC 350 “Goodwill and Other Intangible Assets” requires that goodwill be tested for impairment at the reporting unit level on an annual basis and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of the reporting unit below its carrying value. Annually on October 31, goodwill and other acquired intangible assets with indefinite lives are tested for impairment. The Company did not consider there to be a triggering event that would require an interim impairment assessment, therefore none of the goodwill or other acquired intangible assets with indefinite lives were tested for impairment during the six months ended June 30, 2013.

The following table provides the gross carrying value and accumulated amortization for each major class of intangible asset at June 30, 2013 and December 31, 2012:


	At June 30, 2013									At December 31, 2012
	Gross Carrying Amount		Accumulated Amortization			Net		Weighted Average Life		Gross Carrying Amount		Accumulated Amortization			Net
	(In thousands)									(In thousands)
Amortized intangible assets:
Patents	$	10,538	$	(4,560	)	$	5,978		11		$10,650	$	(4,273	)	$	6,377
Trade names		103,106		(24,675	)		78,431		16		103,113		(21,603	)		81,510
Customer relationships		238,562		(105,660	)		132,902		10		230,196		(93,273	)		136,923
Non-compete agreements		3,706		(3,114	)		592		3		3,505		(2,827	)		678
Unpatented technology		74,351		(28,208	)		46,143		11		74,758		(24,211	)		50,547
Other		6,832		(3,948	)		2,884		10		6,841		(3,604	)		3,237

Total amortized intangible assets		437,095		(170,165	)		266,930				429,063		(149,791	)		279,272
Unamortized intangible assets:
Banjo trade name		62,100		—			62,100				62,100		—			62,100

Total intangible assets	$	499,195	$	(170,165	)	$	329,030			$	491,163	$	(149,791	)	$	341,372

The unamortized Banjo trade name is an indefinite lived intangible asset which is tested for impairment on an annual basis in accordance with ASC 350 or more frequently if events or changes in circumstances indicate that the asset might be impaired.

- 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.

+ References+ Details