Goodwill and Other Intangibles

3 Months Ended

Mar. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

NOTE F – GOODWILL AND OTHER INTANGIBLES

The Company’s finite and indefinite-lived intangible assets consist of the following:


	March 31, 2016					December 31, 2015
	Gross Carrying Amount		Accumulated Amortization			Gross Carrying Amount		Accumulated Amortization

Finite-lived intangible assets
Patents	$	4,815	$	(4,799	)	$	4,815	$	(4,799	)
Land use rights		1,179		(182	)		1,155		(173	)
Trademark		1,750		(934	)		1,713		(899	)
Technology		3,098		(912	)		3,021		(860	)
Customer relationships		12,147		(4,697	)		11,816		(4,501	)

	$	22,989	$	(11,524	)	$	22,520	$	(11,232	)

Indefinite-lived intangible assets
Goodwill	$	16,290				$	15,821

The aggregate amortization expense for other intangibles with finite lives for the three months ended March 31, 2016 and 2015 was $.3 million and $.4 million, respectively. Amortization expense is estimated to be $.7 million for the remaining period of 2016, $1.0 million annually for 2017 and 2018 and $.9 million annually for 2019 and 2020. The weighted-average remaining amortization period is approximately 20.5 years. The weighted-average remaining amortization period by intangible asset class is as follows: patents, 9.8 years; land use rights, 58.9 years; trademark, 10.1 years; technology, 15.6 years; and customer relationships, 13.9 years.

The Company’s measurement date for its annual impairment test for goodwill is October 1st of each year. The Company performs its annual impairment test for goodwill utilizing a discounted cash flow methodology, market comparables, and an overall market capitalization reasonableness test in computing fair value by reporting unit. The Company then compares the fair value of the reporting unit with its carrying value to assess if goodwill has been impaired. Based on the assumptions as to growth, discount rates and the weighting used for each respective valuation methodology, results of the valuations could be significantly different. However, the Company believes that the methodologies and weightings used are reasonable and result in appropriate fair values of the reporting units.

The Company’s only intangible asset with an indefinite life is goodwill. The changes in the carrying amount of goodwill, by segment, for the three months ended March 31, 2016, are as follows:


	USA		The Americas		EMEA		Asia-Pacific		Total
Balance at January 1, 2016	$	3,078	$	3,918	$	1,301	$	7,524	$	15,821
Currency translation		0		253		38		178		469

Balance at March 31, 2016	$	3,078	$	4,171	$	1,339	$	7,702	$	16,290

- 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