Intangible assets and goodwill

12 Months Ended

Dec. 31, 2017

Intangible assets and goodwill [Abstract]

9. Intangible assets and goodwill

As of October 1, 2017 and 2016, the Company performed a qualitative assessment of goodwill associated with the Therapeutics and Vaccines reporting unit, Contract Manufacturing reporting unit, and the Devices reporting unit and determined there were no indicators of impairment.

Intangible assets consisted of the following:


(in thousands)	Total
Cost basis
Balance at December 31, 2016	$	57,099
Additions		94,304
Balance at December 31, 2017	$	151,403

Accumulated amortization
Balance at December 31, 2016	$	(23,234	)
Amortization		(8,572	)
Balance at December 31, 2017	$	(31,806	)

Net book value at December 31, 2017	$	119,597

For the years ended December 31, 2017, 2016 and 2015, the Company recorded amortization expense of $8.6 million, $6.9 million and $7.4 million, respectively, for intangible assets, which has been recorded in operating expenses, specifically selling, general and administrative and cost of product sales and contract manufacturing. As of December 31, 2017, the weighted average amortization period remaining for intangible assets is 105 months.

Future amortization expense as of December 31, 2017 is as follows:

(in thousands)
2018	$	15,647
2019		15,168
2020		15,087
2021		13,596
2022 and beyond		60,099
Total remaining amortization	$	119,597

The following table is a summary of changes in goodwill by reporting unit:

(in thousands)	Therapeutics and vaccines		Contract manufacturing		Devices		Total
Cost Basis
Balance at December 31, 2016	$	24,349	$	6,736	$	9,916	$	41,001
Additions		8,129		-		-		8,129
Balance at December 31, 2017	$	32,478	$	6,736	$	9,916	$	49,130

- 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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