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Note 6 - Goodwill and Other Intangible Assets
12 Months Ended
Dec. 31, 2018
Notes to Financial Statements  
Goodwill and Intangible Assets Disclosure [Text Block]
Note
6
– Goodwill and Other Intangible Assets
 
The changes in the carrying amount of goodwill for the years ended
December 31, 2018
and
2017
were as follows:
 
                                         
(in thousands)
 
Dec. 31, 2016
   
Goodwill acquired during 2017
   
Dec. 31, 2017
   
Goodwill acquired during 2018
   
Dec. 31, 2018
 
                                         
United States
  $
24,047
    $
99,588
    $
123,635
    $
248
    $
123,883
 
Europe
   
4,239
     
-
     
4,239
     
-
     
4,239
 
Japan
   
630
     
-
     
630
     
-
     
630
 
Total goodwill
  $
28,916
    $
99,588
    $
128,504
    $
248
    $
128,752
 
                                         
 
As described in Note
5
– Business Combinations, the Company acquired RAPID in
November 2017.
The fair value of the consideration paid exceeded the fair value of the assets acquired and liabilities assumed, which resulted in goodwill in the United States of
$99.6
million for the year ended
December 31, 2017
and a related working capital adjustment of
$0.2
million for the year ended
December 31, 2018.
 
Intangible assets other than goodwill for the years ended
December 31, 2018
and
2017
were as follows:
 
                                                             
   
Year Ended December 31, 2018
   
Year Ended December 31, 2017
   
 
 
 
Weighted
Average
Useful Life
 
(in thousands)
 
Gross
   
Accumulated Amortization
   
Net
   
Gross
   
Accumulated Amortization
   
Net
   
Useful Life
(in years)
   
Remaining
(in years)
 
Intangible Assets with finite lives:
                                                           
Marketing assets
  $
930
    $
(434
)   $
496
    $
930
    $
(341
)   $
589
   
10.0
   
5.3
 
Non-compete agreement
   
270
     
(206
)    
64
     
270
     
(190
)    
80
   
2.0 - 5.0
   
4.0
 
Trade secrets
   
250
     
(233
)    
17
     
250
     
(183
)    
67
   
5.0
   
0.3
 
Trade names
   
1,080
     
(540
)    
540
     
1,080
     
-
     
1,080
   
2.0
   
1.0
 
Software technology
   
12,229
     
(997
)    
11,232
     
8,229
     
-
     
8,229
   
10.0
   
9.0
 
Customer relationships
   
10,070
     
(2,569
)    
7,501
     
10,070
     
(1,031
)    
9,039
   
6.0 - 9.0
   
4.8
 
Total intangible assets
  $
24,829
    $
(4,979
)   $
19,850
    $
20,829
    $
(1,745
)   $
19,084
   
 
   
 
 
                                                             
 
Amortization expense for intangible assets for the years ended
December 31, 2018,
2017
and
2016
was
$3.2
million,
$0.5
million and
$0.7
million, respectively.
 
The Company acquired a software company in
December 2017,
which was accounted for as an asset acquisition and resulted in an
$8.2
million software technology intangible asset for the year ended
December 31, 2017.
The acquisition did
not
meet the definition of a business under ASC
805.
The asset acquisition included an additional
$5.0
million in contingent consideration to be recognized and paid upon completion of certain milestones over a
24
-month period. The completion of each milestone will result in additional value to the software technology intangible asset. We recognized
$4.0
million of the contingent consideration for the year ended
December 31, 2018.
We did
not
recognize any of the contingent consideration for the year ended
December 31, 2017
as the contingency was
not
resolved.
 
Estimated aggregated amortization expense based on the current carrying value of the amortizable intangible assets is as follows:
 
         
(in thousands)
 
Estimated
Amortization Expense
 
2019
  $
3,451
 
2020
   
2,895
 
2021
   
2,895
 
2022
   
2,895
 
2023
   
2,691
 
Thereafter
   
5,023
 
Total estimated amortization expense
  $
19,850