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Business Combinations (Text Block) | 9 Months Ended
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Sep. 30, 2017
Business Combinations [Abstract] |
Business Combination Disclosure [Text Block] | Business Combinations On June 1, 2017, we completed the acquisition of Comverge, which was financed through borrowings on our multicurrency revolving line of credit and cash on hand. Comverge is a leading provider of integrated demand response and customer engagement solutions that enable electric utilities to ensure grid reliability, lower energy costs for consumers, meet regulatory demands, and enhance the customer experience. Comverge's technologies are complementary to our Electricity segment's growing software and services offerings, and will help optimize grid performance and reliability. The preliminary purchase price of Comverge is $99.5 million in cash, net of $18.2 million of cash and cash equivalents acquired. We made a preliminary allocation of the purchase price to the assets acquired and liabilities assumed based on estimated fair value assessments during the second quarter. During the three months ended September 30, 2017, we updated the estimated fair value of certain deferred tax assets acquired, resulting in immaterial changes to other long-term assets, goodwill, and long-term liabilities. We are continuing to collect information to determine the fair values of intangible assets, working capital, and deferred income taxes, all of which would affect goodwill. The fair values of these assets and liabilities are provisional until we are able to complete our assessment. The following reflects our preliminary allocation of purchase price as of June 1, 2017:
| Fair Value |  | Weighted Average Useful Life
| (in thousands) |  | (in years)
Current assets | $ | 15,118 |  |  |
Property, plant, and equipment | 2,275 |  |  |
Other long-term assets | 1,879 |  |  |
Identified intangible assets |  |  |
Core-developed technology | 19,250 |  |  | 8
Customer contracts and relationships | 12,230 |  |  | 10
Trademarks and trade names | 4,310 |  |  | 15
Total identified intangible assets subject to amortization | 35,790 |  |  | 10
In-process research and development (IPR&D) | 710 |  |  |
Total identified intangible assets | 36,500 |  |  |
Goodwill | 59,137 |  |  |
Current liabilities | (10,787 | ) |  |
Long-term liabilities | (4,645 | ) |  |
Total net assets acquired | $ | 99,477 |  |  |
The fair values for the identified core-developed technology, trademarks, and IPR&D intangible assets were estimated using the income approach. Under the income approach, the fair value reflects the present value of the projected cash flows that are expected to be generated. Core-developed technology represents the fair values of Comverge products that have reached technological feasibility and were part of Comverge's product offerings at the date of the acquisition. Customer contracts and relationships represent the fair value of the relationships developed with its customers, including the backlog, and these were valued utilizing the replacement cost method, which measures the value of an asset based on the cost to replace the existing asset. The core-developed technology, trademarks, and IPR&D intangible assets valued using the income approach will be amortized using the estimated discounted cash flows assumed in the valuation models. Customer contracts and relationships will be amortized using the straight-line method. IPR&D assets acquired represent the fair value of Comverge research and development projects that have not yet reached technological feasibility. These projects are expected to be completed in the next three months. Incremental costs to be incurred for these projects, currently estimated at $0.4 million, will be recognized as product development expense as incurred within the Consolidated Statements of Operations. Goodwill of $59.1 million arising from the acquisition consists largely of the synergies expected from combining the operations of Itron and Comverge, as well as certain intangible assets that do not qualify for separate recognition. All of the goodwill balance was assigned to the Electricity reporting unit and segment. We will not be able to deduct any of the goodwill balance for income tax purposes. The following table presents the revenues and net income (loss) from Comverge's operations that are included in our Consolidated Statements of Operations:
| July 1, 2017 - September 30, 2017 |  | June 1, 2017 - September 30, 2017
| (in thousands)
Revenues | $ | 14,183 |  |  | $ | 18,979 |
Net income (loss) | (128 | ) |  | (1,914 | )
The following supplemental pro forma results are based on the individual historical results of Itron and Comverge, with adjustments to give effect to the combined operations as if the acquisition had been consummated on January 1, 2016.
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2017 |  | 2016 |  | 2017 |  | 2016
| ( in thousands)
Revenues | $ | 486,747 |  |  | $ | 524,471 |  |  | $ | 1,489,533 |  |  | $ | 1,563,405 |
Net income (loss) | 27,414 |  |  | (8,607 | ) |  | 61,475 |  |  | 16,148 |
The significant nonrecurring adjustments reflected in the proforma schedule above are not considered material and include the following:
• | Elimination of transaction costs incurred by Comverge and Itron prior to the acquisition completion
• | Reclassification of certain expenses incurred after the acquisition to the appropriate periods assuming the acquisition closed on January 1, 2016
The supplemental pro forma results are intended for information purposes only and do not purport to represent what the combined companies' results of operations would actually have been had the transaction in fact occurred at an earlier date or project the results for any future date or period.

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- Definition The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable). + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -URI http://asc.fasb.org/topic&trid=2303972 + Details
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