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Intangible Assets
 9 Months Ended
Sep. 30, 2012
Intangible Assets [Abstract]  
Intangible Assets

3. Intangible Assets

The Company’s amortizable purchased intangible assets resulting from its acquisition of Enfora are composed of (in thousands):

 

                                                                 
    September 30, 2012     December 31, 2011  
    Gross     Accumulated
Amortization		     March 31, 2012
Impairment		     September 30, 2012
Preliminary Impairment		     Net     Gross     Accumulated
Amortization		     Net  

Developed technologies

   $ 26,000     $ (5,703 )    $ (15,477 )    $ (4,070 )    $ 750     $ 26,000     $ (4,163 )    $ 21,837  

Trade name

     12,800       (2,018 )      (5,693 )      (3,189 )      1,900       12,800       (1,387 )      11,413  

Other

     3,720       (1,868 )      (1,620 )      —         232       3,720       (1,609 )      2,111  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total amortizable purchased intangible assets

   $  42,520     $ (9,589 )    $ (22,790 )    $ (7,259 )    $  2,882     $  42,520     $ (7,159 )    $  35,361  
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

The following table presents details of the amortization of purchased intangible assets included in the cost of net revenues and general and administrative expense categories (in thousands):

 

                                 
    Three Months Ended
September 30,		     Nine Months Ended
September 30,		  
    2012     2011     2012     2011  

Cost of net revenues

   $ 289     $ 705     $ 1,539     $ 3,144  

General and administrative expenses

     227       644       891       1,699  
   

 

 

    

 

 

    

 

 

    

 

 

  

Total amortization expense

   $ 516     $ 1,349     $ 2,430     $ 4,843  
   

 

 

    

 

 

    

 

 

    

 

 

  

During the quarter ended March 31, 2012, the Company recorded an impairment loss of $22.8 million related to a decrease in the estimated fair values of the purchased intangible assets fair values. At September 30, 2012, the Company performed a preliminary interim impairment assessment of its purchased intangible assets. The resulting preliminary impairment of $7.3 million has been recorded as a loss in the current quarter and the intangible asset values have been recorded at their estimated fair value. See Note 4.

The following table represents details of the amortization of existing purchased intangible assets that is currently estimated to be expensed in the remainder of 2012 and thereafter (in thousands):

 

         

Fiscal year:

   Amount  

2012 (remaining 3 months)

   $ 229  

2013

     743  

2014

     743  

2015

     729  

2016

     438  
   

 

 

  

Total

   $ 2,882  
   

 

 

  

Additionally, at September 30, 2012 and December 31, 2011, the Company had $209,000 and $341,000, respectively, of acquired software licenses, net of accumulated amortization of $2.0 million and $3.7 million, respectively. The acquired software licenses represent rights to use certain software necessary for commercial sale of the Company’s products.