Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Note 4. Goodwill and Intangible Assets

The change in the carrying amount of goodwill for the nine months ended September 30, 2016 was as follows:


	Amount
	(in thousands)
Balance as of December 31, 2015	$	74,565
Logentries acquisition accounting adjustments		545

Balance as of September 30, 2016	$	75,110

Identifiable intangible assets consist of the following:


			As of September 30, 2016							As of December 31, 2015
	Weighted- Average Life (years)		Gross Carrying Amount		Accumulated Amortization			Net Book Value		Gross Carrying Amount		Accumulated Amortization			Net Book Value
			(in thousands)
Intangible assets subject to amortization:
Developed technology		6.3	$	11,231	$	(2,672	)	$	8,559	$	12,851	$	(2,955	)	$	9,896
Trade names		6.1		519		(481	)		38		719		(389	)		330
Customer relationships		6.7		1,000		(159	)		841		1,000		(43	)		957
Non-compete agreements		2.0		40		(28	)		12		540		(338	)		202

Total intangible assets			$	12,790	$	(3,340	)	$	9,450	$	15,110	$	(3,725	)	$	11,385

Amortization expense was $0.8 million and $0.3 million for the three months ended September 30, 2016 and 2015, respectively, and $1.9 million and $0.8 million for the nine months ended September 30, 2016 and 2015, respectively.

During the third quarter of 2016, we discontinued our Mobilisafe product offering and accelerated the amortization of the remaining $0.2 million net book value. In addition, we wrote-off the $2.3 million gross carrying amount and related accumulative amortization.

Estimated future amortization expense of the acquired identifiable intangible assets as of September 30, 2016 is as follows (in thousands):


2016 (for the remaining three months)	$	504
2017		1,930
2018		1,886
2019		1,859
2020		1,837
2021 and thereafter		1,434

Total	$	9,450

- 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 + Details