XML 35 R15.htm IDEA: XBRL DOCUMENT
v3.3.1.900

Goodwill and Intangible Assets | 12 Months Ended
--- | ---
Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | GOODWILL AND INTANGIBLE ASSETS Intangible Assets The changes in the carrying amount of other intangible assets for the period ending December 31, 2015, were as follows:
| December 31, 2015 |  | December 31, 2014
(Dollars in thousands) | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount
Trademarks and patents | $ | 2,543 |  |  | $ | 718 |  |  | $ | 1,825 |  |  | $ | 1,046 |  |  | $ | 364 |  |  | $ | 682 |
Technology | 47,724 |  |  | 19,681 |  |  | 28,043 |  |  | 33,942 |  |  | 15,958 |  |  | 17,984 |
Covenant-not-to-compete | 943 |  |  | 943 |  |  | — |  |  | 1,016 |  |  | 823 |  |  | 193 |
Customer relationships | 49,948 |  |  | 9,100 |  |  | 40,848 |  |  | 19,123 |  |  | 4,406 |  |  | 14,717 |
Total definite lived intangible assets | 101,158 |  |  | 30,442 |  |  | 70,716 |  |  | 55,127 |  |  | 21,551 |  |  | 33,576 |
Indefinite lived intangible assets | 4,303 |  |  | — |  |  | 4,303 |  |  | 4,764 |  |  | — |  |  | 4,764 |
Total intangible assets | $ | 105,461 |  |  | $ | 30,442 |  |  | $ | 75,019 |  |  | $ | 59,891 |  |  | $ | 21,551 |  |  | $ | 38,340 |
In the table above, gross carrying amounts and accumulated amortization may differ from prior periods due to foreign exchange rate fluctuations. The indefinite-lived trademark intangible assets were acquired from the acquisition of Curamik. These assets are assessed for impairment annually or when changes in circumstances indicated that the carrying values may be recoverable. The definite-lived intangibles are amortized using a fair value methodology that is based on the projected economic use of the related underlying asset. On January 22, 2015, we acquired Arlon. For further detail on the goodwill and intangible assets recorded on the acquisition, see Note 5 - Acquisition. In November 2015, we entered into a technology license agreement with Saber, Inc., which resulted in a $1.0 million intangible asset that will be amortized on a straight-line basis over 5 years. Amortization expense was approximately $10.9 million, $6.1 million and $6.0 million in 2015, 2014 and 2013, respectively. The estimated annual future amortization expense is $10.6 million, $10.2 million, $9.6 million, $9.1 million and $5.6 million in 2016, 2017, 2018, 2019 and 2020, respectively. These amounts could vary based on changes in foreign currency exchange rates. The weighted average amortization period as of December 31, 2015, by intangible asset class, is presented in the table below:
Intangible Asset Class |  | Weighted Average Amortization Period
Trademarks and patents |  | 3.7
Technology |  | 4.1
Customer relationships |  | 5.5
Total other intangible assets |  | 4.9
Goodwill The changes in the carrying amount of goodwill for the period ending December 31, 2015, by reportable segment, were as follows:
(Dollars in thousands) | Elastomeric Material Solutions |  | Advanced Connectivity Solutions |  | Power Electronics Solutions |  | Other |  | Total
December 31, 2014 | $ | 23,565 |  |  | $ | — |  |  | $ | 72,438 |  |  | $ | 2,224 |  |  | $ | 98,227 |
Arlon acquisition | 33,872 |  |  | 51,931 |  |  | — |  |  | — |  |  | 85,803 |
Foreign currency translation adjustment | (1,168 | ) |  | — |  |  | (7,409 | ) |  | — |  |  | (8,577 | )
December 31, 2015 | $ | 56,269 |  |  | $ | 51,931 |  |  | $ | 65,029 |  |  | $ | 2,224 |  |  | $ | 175,453 |
Annual Impairment Testing We perform our annual goodwill impairment testing in the fourth quarter of the year. In 2015, we estimated the fair value of our reporting units using an income approach based on the present value of future cash flows. We believe this approach yields the most appropriate evidence of fair value as our reporting units are not easily compared to other corporations involved in similar businesses. We further believe that the assumptions and rates used in our annual impairment test are reasonable, but inherently uncertain. No impairment charges resulted from these analyses. We currently have four reporting units with goodwill and intangible assets - Advanced Connectivity Solutions (ACS), Elastomeric Material Solutions (EMS), Curamik and the Elastomer Components Division (ECD). The ACS, EMS, Curamik and ECD reporting units had allocated goodwill of approximately $51.9 million, $56.3 million, $65.0 million and $2.2 million, respectively, at December 31, 2015. No impairment charges resulted from the annual goodwill impairment analysis. The excess of fair value over carrying value for these reporting units was 341.0% for ACS, 208.6% for EMS, 73.8% for Curamik and 232.3% for ECD. These valuations are based on a five year discounted cash flow analysis, which utilized a discount rates ranging from 12.0% for EMS and ECD to 15.3% for Curamik and a terminal year growth rate of 3% for all three reporting units.

X
- References No definition available. + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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 Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16373-109275 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16265-109275 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=26713463&loc=d3e16323-109275 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=35741047&loc=d3e13816-109267 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=35741047&loc=d3e13854-109267 + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration