Intangible Assets

6 Months Ended

Jul. 01, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Amortizing intangible assets are comprised of the following (in thousands):



	Gross Carrying Amount		Accumulated Amortization			Foreign Currency Translation			Net Carrying Amount
At July 1, 2016
Purchased technology and patents	$	256,719	$	(92,017	)	$	2,397		$	167,099
Customer lists	759,987		(50,389		)	3,264			712,862
Other	4,534		(5,044		)	803			293
Total amortizing intangible assets	$	1,021,240	$	(147,450	)	$	6,464		$	880,254
At January 1, 2016
Purchased technology and patents	$	255,776	$	(83,708	)	$	1,444		$	173,512
Customer lists	761,857		(40,815		)	(986		)	720,056
Other	4,534		(4,946		)	821			409
Total amortizing intangible assets	$	1,022,167	$	(129,469	)	$	1,279		$	893,977

During the first quarter of 2016, the Company made an asset purchase of technology totaling $2.0 million, which is being amortized over a weighted average period of approximately 15 years.

Aggregate intangible asset amortization expense is comprised of the following (in thousands):



	Three Months Ended				Six Months Ended
	July 1, 2016		July 3, 2015		July 1, 2016		July 3, 2015
Cost of sales	$	4,240	$	1,445	$	8,480	$	2,916
Selling, general and administrative expenses	5,123		1,830		10,259		3,643
Research, development and engineering costs, net	151		103		239		206
Total intangible asset amortization expense	$	9,514	$	3,378	$	18,978	$	6,765

Estimated future intangible asset amortization expense based on the carrying value as of July 1, 2016 is as follows (in thousands):



	Estimated Amortization Expense
Remainder of 2016	$	18,934
2017	44,050
2018	44,962
2019	45,044
2020	45,642
Thereafter	681,622
Total estimated amortization expense	$	880,254

Indefinite-lived intangible assets are comprised of the following (in thousands):



	Trademarks and Tradenames
At January 1, 2016	$	90,288
At July 1, 2016	$	90,288


5.	INTANGIBLE ASSETS (Continued)

The change in goodwill is as follows (in thousands):



	Greatbatch Medical		QiG			Lake Region Medical		Total
At January 1, 2016	$	303,929	$	50,096		$	659,545	$	1,013,570
Goodwill divested (Note 2)	—		(40,830		)	—		(40,830		)
Purchase accounting adjustment (Note 2)	—		—			3,932		3,932
Foreign currency translation	91		—			4,076		4,167
At July 1, 2016	$	304,020	$	9,266		$	667,553	$	980,839

- 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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