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Goodwill and Other Intangible Assets
 12 Months Ended
Dec. 31, 2011
Goodwill and Other Intangible Assets [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS

9.  GOODWILL AND OTHER INTANGIBLE ASSETS

The Company tests goodwill and other indefinite lived intangible assets for impairment at least annually at the reporting unit level. Definite lived intangible assets, such as patent rights, are amortized and tested for impairment at least annually at the reporting unit level. The Company reassessed the carrying value of its goodwill of approximately $2,000,000 related to the operations of one of its subsidiaries, VJCL, during the fourth quarter of fiscal 2011 and determined that it was not more likely than not that the carrying value exceeded the fair value.

Patent costs, which are included in other assets in the accompanying balance sheets, as of December 31 were as follows (in thousands):

 

                 
    2011     2010  

Patent costs

   $ 3,353     $ 3,459  

Accumulated amortization

     (1,877 )      (1,827 ) 
   

 

 

    

 

 

  
    $ 1,476     $ 1,632  
   

 

 

    

 

 

  

In 2010, the Company wrote off patent costs associated with abandoned patents with net book values of approximately $19,000, which was charged to amortization expense (none in 2011). Patent renewal fees were $47,000 and $55,000 in 2011 and 2010, respectively.

Amortization expense was approximately $325,000, $318,000 and $254,000 in 2011, 2010 and 2009, respectively. The estimated future amortization expense from patent assets held as of December 31, 2011, is projected to be $188,000, $181,000, $167,000, $138,000, and $125,000, in fiscal years 2012, 2013, 2014, 2015, and 2016, respectively.

During the second quarter of 2009, the Company entered into a license agreement with GWS in which the Company paid $500,000 to obtain certain rights to several GWS semiconductor devices (See Note 8). The amount is being amortized on a straight-line basis over four years, and is included in “Other assets” in the accompanying Consolidated Balance Sheets. Balances as of December 31 were as follows (in thousands):

 

                 
    2011     2010  

GWS intangibles

   $ 500     $ 500  

Accumulated amortization

     (312 )      (187 ) 
   

 

 

    

 

 

  
    $ 188     $ 313  
   

 

 

    

 

 

  

The estimated future amortization expense from GWS intangible assets held as of December 31, 2011, is projected to be $125,000, $63,000 in fiscal years 2012 and 2013, respectively.