Goodwill and Other Assets

12 Months Ended

Dec. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

7. Goodwill and Other Assets:

Goodwill was $2.8 billion and $2.4 billion at December 31, 2014 and 2013, respectively. The change in the carrying amount of goodwill of approximately $382.5 million during the year ended December 31, 2014 is primarily related to the Company’s 2014 acquisitions. The Company expects that approximately $229.3 million of the goodwill recorded during the year ended December 31, 2014 will be deductible for tax purposes. The change in the carrying amount of goodwill during the year ended December 31, 2013 of approximately $228.1 million related to the 2013 acquisitions.

Other assets consist of the following (in thousands):


	December 31,
	2014		2013
Other intangible assets, net	$	198,136	$	103,639
Other assets		37,289		25,799

	$	235,425	$	129,438

At December 31, 2014, other intangible assets consisted of amortizable hospital and other contracts, physician and hospital agreements, customer relationships and trade names with gross carrying amounts of approximately $299.0 million, less accumulated amortization of approximately $100.9 million. The customer relationships and trade names are related to the complementary revenue cycle management company acquired during 2014. At December 31, 2013, other intangible assets consisted of amortizable hospital and other contracts and physician and hospital agreements with gross carrying amounts of approximately $174.4 million, less accumulated amortization of approximately $70.8 million.

Amortization expense for existing other intangible assets was $30.1 million, $24.5 million and $15.0 million for the years ended December 31, 2014, 2013 and 2012, respectively.

Amortization expense for existing other intangible assets for the next five years is expected to be as follows (in thousands):


2015	$	36,874
2016		30,985
2017		24,919
2018		20,190
2019		16,059

The remaining weighted average amortization period of other intangible assets is 8.7 years. The calculation of the weighted average amortization period includes amortization expense related to years beyond 2019 of approximately $69.1 million.

Other assets of $37.3 million and $25.8 million at December 31, 2014 and 2013, respectively, consist primarily of the cash surrender value of life insurance related to the Company’s deferred compensation arrangements of $16.0 million and $17.1 million, respectively, and at December 31, 2014 also includes the Company’s investment in a joint venture of $9.5 million.

- 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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